New Jersey business owners know that an individual sometimes has to put in their own funds when they start a new venture. This can mean taking mortgages on a residence or using savings to begin a new business. However, if the business fails or is stalled for some reason, the owner who used their personal funds may find that they need the help of a Chapter 7 bankruptcy filing.
In one recent case that may be of interest to our readers in New Jersey, the owner of a struggling water bottling company filed for a Chapter 7 bankruptcy. This move came in part to try to block the foreclosure of the man’s personal home. In addition, the man told the court that he had other creditors, some relating to money that he used in his water bottling business.
The owner of the water bottling business may have found that the controversy surrounding his business contributed to the bankruptcy for both he personally and the business. In fact, he has reported that he put millions of dollars into the water-bottling venture, only to see it stalled by the protests of those who objected to the water source to be used. The business sis now for sale and the owner is going through the Chapter 7 bankruptcy process.
As is the case with some business owners in New Jersey, the man in this case found that he had accumulated more debt than he could hope to repay. To help relieve himself from some of the burden of the debts of the business, he filed for a Chapter 7 bankruptcy. Once the bankruptcy is completed, this may allow him time to restructure his financier so that he can begin a fresh financial future and in time, a return to profitability.
Source: nhbr.com, “USA Springs founder files for personal bankruptcy,” Bob Sanders, Feb. 5, 2013