Chapter 7 Bankruptcy Leads To Financial Success For Hard-Working Co...

People are afraid of filing bankruptcy. Most of my bankruptcy clients are worried about the effect of bankruptcy on their future, and they think they may never recover financially. Consider this true story.

Five years ago I filed bankruptcy for a married couple. The husband had been fired by a a national corporation where he had earned a six figure income for many years. The wife worked for a local home decorating firm. After the husband lost his job the couple had spent all their savings and accumulated substantial credit card debt in an effort to save their house and pay other expenses.

This past month the wife came to see me for help with a new legal issue. She gave me a report on their current work and financial situation. The husband after bankruptcy started a new job placement company. His prior corporate experience was in the personnel department. The husband’s new company earned net revenue of $1 million. That’s net revenue, not gross. The wife owns and operates a successful interior design firm which, she says, is profitable and has increased revenues every year during the recession. Both spouses are clearly very successful.

The wife told me that bankruptcy taught them valuable lessons including keeping overhead low in their businesses and limited personal expenditures to only things they could afford with money they already had in the bank. Both spouses enjoy what they do and they work hard. Bankruptcy did not ruin these people. The wife told me that her husband’s getting fired by his company and their joint bankruptcy was the best thing that ever happened to them.