a bit of a vent

Sheesh....Gary put off the business appraisal, for a year...and guess what folks...it was enough time for him to do enough financial juggling of numbers that, yes....this business IS overwhelmed in debt and the official, five thousand dollar appraisal amount? Note Works is worth $0.


SAY WHAT? I guess the official total debts owed by the community is around $400,000 (just over), and the inventory and liquifiable assets are maybe $120,000 w0rth. So, it's 'upside down' and not a viable 'ongoing concern' because it isn't making enough profit to pay the person who runs it enough. Gary told the appraiser that 'he will rise from the ashes and pay this all off etc...and this guy said "I think he is CRAZY" and suggested starting to file chapter 11 and asking creditors to let us pay 20c on the dollar. (he said lots of other stuff and I am still digesting it all). I have to figure out whether b'ruptcy would be better now (forced by me, before the split) or afterwards, on my own. Have the number of a bankruptcy lawyer given to me by my attorney. Apparently, if we file chapter 11, we get to keep up to $200K equity, in a home we live in, which is, coincidentally the same amount that we have, in equity, if you take away the $75K second mortgage which is business debt. Gary wants to liquify the house, and get his share...so I have to try to figure out a way to avoid that...or perhaps go through with it and force him to liquify the losing concern (Note Works) as well....I don't know...if bankruptcy gives the business a 'worth' that can be split, maybe we'll go that way, I have to scope it out.

Trying not to stress out completely, this is not surprising but it is a headache, perhaps if my atty had not insisted on an appraisal I could've got out of this better off....but I don't really know... here we are now!