Becoming bankrupt
If you're self employed
Your business is very likely to be closed, unless the person dealing with your bankruptcy (the ‘trustee’) decides to keep it open.
You’ll need to give a list of anything you own for the business to the trustee.
You can usually keep things you own for your business if you need them for employment, for example:
-
vehicles
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tools
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equipment
You might have to give them up if they’re worth more than a reasonable replacement.
Your employees can make a claim for unpaid wages and holiday pay, payment in place of notice and redundancy. They’ll make this claim either:
- to the Redundancy Payments Service
- through the bankruptcy process
You can trade again but with restrictions on what you can do.