When attempting to bounce back from bankruptcy, personal integrity and communication are very important. If investors, including family and friends, provided you with seed money, they deserve to be updated on your business’s financial status and to be repaid, perhaps in installments, when you can afford it. To begin the process of getting your business back into the black, focus on those elements your business does well and discontinue, sell, or outsource the rest. Slash all excessive overhead, focus on accounts receivable, and renegotiate accounts payable terms. You may also need to make improvements within the company, including personnel changes in key decision-making positions. In your current precarious state, you as the business owner or manager need to know what’s going on at all times.
For more on bankruptcy, be sure to read What Is Meant by Straight Bankruptcy?