My Business Failed but I Still Want to Pay My Debt

If your business failed, it can be hard to pick up the pieces. We’re here to help you pay the debt from your failed business.

When you’re unable to make monthly repayments on your business loans, they can go into default. This will have a long-term effect on your credit, so it’s important to take action. 

If your business failed by you still want to pay your debt, you have options. 

For a transparent and effective business debt consolidation plan that will free you from the financial burdens of your failed business, Debt Busters are here to help. Whether you feel obligated to repay your business debts or you simply want to clear your path moving forward, our team has the expertise needed to get your finances back on track.

  • When A Loan Is Tied to a Failed Business

    When you start a new business venture, it’s common to take out loans to help fund your startup or new business. You might need loans to cover the cost of equipment or retail space, or simply to help with hiring the help you need.

    There are two types of loans common in businesses: secured loans and unsecured loans. These are similar to personal loans, only they’re limited to business purposes.

    With a secured loan, you borrow against an asset, like your car or your home. You could also borrow against a business asset such as equipment you’re using the loan to buy. If your loan is tied to an asset, it’s common for the lender to seize these possessions and sell them to recover your debt in the case of a default.

    An unsecured loan is one taken without collateral. If you fall behind on your payments, the lender will raise your interest and add new fees. These add up quickly, so it’s important to find a solution that’s right for you to avoid this debt being sent to a debt collector. If the loan is taken to court, you could face wage garnishment or even the seizure of your personal property.

  • Tips on Handling Debt From Business Failure

    If you have debts from a business failure, you need to know your rights. Unlike personal debt, your lender can only pursue business assets in most cases.

    If your business goes under with outstanding debt, your lender can claim things like your equipment, office space, furniture, etc. They cannot usually take your personal property. The only exceptions to this are if you secure your loan with personal property or you signed a personal guarantee.

    If you’re facing debts from a business failure and you’re not sure what steps to take, contact Debt Busters today. With over 15 years of experience, we’ve come across lots of different situations of business debt consolidation. We’ve been helping failed businesses to take care of their debt in a way that’s manageable and fair. Our goal is to help you re-establish your finances, repay your debts, and take back control of your life.

  • How to Pay Your Business Debts?

    Luckily, you have options for how to pay your business debts. You don’t have to settle for endless late fees and the seizure of your assets.

    Follow these steps to recover from your business debts:

    • Check your loans – First, check what type of loans you have. If you have business loans that are secured with your personal property or you signed a personal guarantee, read the fine print on these loans or talk to an expert.
    • Review your lender’s terms – Each lender handles late payments differently. Check with yours to see their specific penalties and terms.
    • Talk to your lender – Though it’s intimidating, call your lender or see them in person. They want to reclaim any money they can, and they might be willing to work with you on a repayment program.
    • Consider a debt solution – Finally, consider a debt solution that works for you long-term, such as a loan refinance and debt agreement.

    While there’s no one-size-fits-all option, you have more options than you think. The sooner you act after the failure of your business, the more chances you have to take action.

    Most lenders don’t want to go to the trouble of pursuing money through the court system. They’d much rather work with you on a solution. Don’t be afraid to ask for help when you need it. Lenders have assistance programs for this reason.

  • Setting up A Strategy For a Business Loan Default

    Failing to take action to repay your business loan can lead to credit problems down the road. A loan default makes you seem like a risky borrower, and you’ll pay for this in the future with higher interest rates.

    Though a business failure can be a challenging situation, it’s not an impossible one. Paying back your debts will put you in good financial standing and help you if you ever choose to start a new venture in the future.

    For tailored business debt help that will address your unique financial circumstances, please contact a friendly member of our team today. Alternatively, you can read through Timothy’s story and find out how Debt Busters played a vital role in helping him consolidate the debt from his failed business. You too can pay off your business debts.

    Why choose us for business debt consolidation? We’ve helped thousands of people with business debt consolidation. When you work with us, we handle all communication with creditors, letting you focus on what matters most to you. Our team can arrange flexible repayment options if your situation changes, so this is a long-term option that works no matter your financial status.

    Let us help you deal with your business debt to avoid a business loan default.

    Repaying your business debt is a responsible way to create a brighter future for yourself. Similar to the thousands of business owners across Australia that we’ve helped, we’ll remain by your side and support your efforts at all times.

    When it comes to consolidating debt from a failed business, two effective solutions that we offer at Debt Busters include: Debt Agreements, Informal Payment Arrangements and Debt Negotiation. For a business debt consolidation plan that has your best interests at heart, call Debt Busters now on 1300 368 332.

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Debt Busters is an Australian owned business which was founded in 2005 - since then we have been able to help thousands regain financial control.

Debt Busters prides itself on providing a dedicated Client Service Manager to work closer with you and provide a higher level of customised service about your situation.