It is difficult to think of bankruptcy when one is making the sort of financial plans that secure the present and the future for people and their families. Most people think their plans will work out, and there will never be any need for protection from creditors. But it does happen, although there should never be any shame in the need to start over with the help of bankruptcy.
Sometimes, it is not so easy to start over. A retiree from New Hampshire is one of several people who are facing financial problems after the failure of an investment property. The group invested more than $6 million in a proposed luxury event space in Indiana in order to take advantage of a tax break that allows capital gains in commercial real estate deals to be invested in another property that generates rent.
The group now owns a vacant lot that does not generate income. They seem to be the victims of a fraud involving the collection of similar investments in properties, some of which become event facilities. The New Hampshire man, who recently filed for bankruptcy, mentioned that the company owning the business is under federal investigation.
Regardless of the circumstances that led people to consider bankruptcy, it is a serious undertaking that requires strategy and the consideration of multiple factors. For instance, Chapter 7 bankruptcy may require all significant assets with which a person can dispense.
Legal representation is often helpful when people are considering Chapter 7 bankruptcy or another form of relief from creditors and related obligations. An attorney also ensures no one has to go through the process alone.