Hello all F.I. seekers, A bit of advice needed in regards to bankrupts. Hypothetically speaking if I wanted to go into partnership with someone to become property investor, (sound familiar?) I am the one with the time on his hands (my wife works), but my future partner is the one with the income (a friend), however he is bankrupt. What is the best way to utilise his income for finance and protect our future assets from the gremlins??????? Does anyone know who to ask or what structures exist that protect assets?
Cheers all.Tridean34 Developments
If he is bankrupt, he cannot get a loan. If he is a discharged bankrupt, it will still be very hard to get a loan for a number of years. There will also be lvr restrictions and higher interest rates as lenders percieve a high risk in these sorts of loans.
Whatever structure you setup, you will have problems getting finance if the other party is the one with the income. If it was the other way around (is him with time on his hands and you with the income) you could get around it.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
I guess I shouldnt buy into the ethics of this, BUT if the guy is a bankrupt and has the income I am assuming he is repaying his debts by way of payment arrangement? or
If he has funds then there is in my humble opinion an obligation to pay his debts back,
naturally I dont know the situation so forgive me any indiscretion.If they find out he has funds guess what they will seek to recover their money/debt.If this isnt already being done.
I guess you know why he is a bankrupt?, we dont need to know.
I would question if this is a person you can trust. Remember if you become a partner to this person, and I guess if he has the funds to lend you, or the income to support your IP investments, I guess it will be written somewhere where he has a say or ability to recouperate funds…???? but what if it all goes sour?
What happens if they come after his share? sell it out from underyou?
Why would you really want to operate in what could appear as a dodgy operation????? because after all he is bankrupt.
My suggestion:wait til it is clear to invest then start again. it can be done though it is hard.
just my opinion
” a blind man may see what a sighted man may not”
If you’re a bankrupt you don’t have too pay anything back. That’s the beauty of being a bankrupt!!!!!!
Never been there myself, but you never know!!!!!!bbruham
winners make it happen.
losers let it happen.er dont kid yourself I have read many bankruptcy papers and they vary
I have seen payment arrangents made
where assets were hidden deliberately and lets say this was looked into.you cant own anything without they possibly taking it. Even a car, unless it is under a certain value.
You might think all debts wiped right? not so. ATO CSA etc are not wiped out. Not to mention other govt agencies.
And from what I have been told, if you win lotto and one of the people you owe money finds out? I think they can have the debt re raised. Correct me if I am wrong on that one.
I view bankruptcy as a very very serious thing and last resort. better to try and make payment arrangements, didnt John simmons, aussie homeloans do this rather than go bankrupt?
elves
” a blind man may see what a sighted man may not”
I view bankruptcy as a very very serious thing and last resort. better to try and make payment arrangements, didnt John simmons, aussie homeloans do this rather than go bankrupt?Yep he sure did but where did that get him lol
Have you read his book, I highly recommend it , I really enjoyed it.Makes you want to refinace everything to aussie home loans heh [cap]If you want the rainbow youve got to put up with the rain!
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