Long Island City, NY asked in Bankruptcy for New York

Q: I'm looking for legal advice regarding my LLC, that is not generating any income anymore, and I am about to close it.

However, I have a credit card and business line of credit (both under LLC’S name), is it possible to file the bankruptcy of that LLC without effective my personal credit history?

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4 Lawyer Answers
Karra Kingston
Karra Kingston
Answered
  • Bankruptcy Lawyer
  • Staten Island

A: Hello,

You could file a business chapter 7 bankruptcy but sometimes it doesn’t make sense are you sure your not personally liable for any of your business debt. I would definiteltnspeak with a lawyer

Bruce Alexander Minnick agrees with this answer

Michael David Siegel
Michael David Siegel
Answered
  • Bankruptcy Lawyer
  • New York, NY
  • Licensed in New York

A: I would bet you are a guarantor of these debts so the answer is it would impact your credit.

Bruce Alexander Minnick agrees with this answer

Leonard R. Boyer
Leonard R. Boyer
Answered
  • Bankruptcy Lawyer
  • Brooklyn, NY

A: Without knowing whether or not you have a 3 member LLC or personally guaranteed the credit card and line of credit, no attorney can advise you.

Bruce Alexander Minnick agrees with this answer

Bruce Alexander Minnick
Bruce Alexander Minnick
Answered

A: Unless you found a (stupid) bank or credit card company that issues credit to LLCs or corporations without requiring the personal guaranty of the owner(s) of the organization I would bet you are on the hook personally for all the debt "owned" by the LLC. Forewarned is forearmed.

Karra Kingston agrees with this answer

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