Rapper is proof that filing for bankruptcy does not mean failure
On behalf of Bankruptcy Law Firm of Clare Casas on Friday, July 17, 2015.
Economic conditions nationwide can create financial challenges for the average individual or small business. Someone whose weekly income has been cut by loss of employment or a reduction in hours worked will feel the effects of higher gasoline or food prices. Higher costs can also create financial challenges for owners of small businesses struggling to turn a profit.
For people and businesses struggling with debt, a story about a rapper whose multimillion dollar investment empire includes holding stakes in motion pictures, television shows and fortified water drinks might not be something to which they can relate. However, news of rapper 50 Cent filing for bankruptcy drew attention because of the sizable amount of debt he claimed to owe and the lack of liquid assets available to pay it.
One aspect of the rap artist’s bankruptcy that small business owners and consumers can learn from is how he has embraced his current financial challenges as signaling the beginning of a fresh start for him. Filing for bankruptcy will, according to the artist and his lawyers, provide him with the chance to accomplish a business reorganization and personal debt relief under the protection and oversight of a bankruptcy court.
Business bankruptcy allows business owners to continue their operations while working to achieve debt relief without the pressure of collection efforts by creditors. Consumer bankruptcy, particularly a Chapter 13, offers an opportunity for an individual to work out a repayment plan to can prevent foreclosure and asset seizure while debt payments are being made.
A Fort Lauderdale, Florida, bankruptcy attorney can be a good source of legal advice and information about debt relief options available to small businesses and consumers. A person overwhelmed by debt may find the answer to financial management issues following a consultation with an attorney.
Source: Forbes, “50 Cent Files For Bankruptcy In Rapid Fall From Financial Grace,” Zack O’Malley Greenberg, July 13, 2015