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Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
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I'm in the process of starting my first business as

Resolved Question:

I'm in the process of starting my first business as a news paper shop.
I'm in the process of taking on a shop lease for 3 years. I will be running this business as a sole trader and the lease in my name.
I rent a room from my brother. I don't actually have anything in my name of any value. (No house etc)
Although I'm hoping and have done lots of research in this shop business I'm acutely aware not all business' work.
So my question: in the event it never worked and i had to become bankrupt because I wasn't making money and couldn't afford the rent etc. would the bankruptcy void the lease? And any dept that may occur? (I have saved for 6 years to afford starting up so it would be my money that I would lose.)
Submitted: 2 years ago.
Category: Law
Expert:  Ash replied 2 years ago.
Hello my name is ***** ***** I will help you with this.
Why are you not a Limited company?
Customer: replied 2 years ago.

Hi, i have a full time job in which i work from home. Having a limited company brings my cost up again needed accountants, incorp tax etc.

Expert:  Ash replied 2 years ago.
Ok. If you go bankrupt then yes this ends the lease and the debt is included with it.
Can I clarify anything for you about this today please?
Customer: replied 2 years ago.

As i live with my brother and the house is his not mine. And in fact the contents of the house is my brother also, could anyone take items from his house as i live here to repay dept if this scenario of bankruptcy was to happen?

Expert:  Ash replied 2 years ago.
Only your items. Nothing of his can be included or taken.
Does that help? Alex
Ash and other Law Specialists are ready to help you
Expert:  Ash replied 2 years ago.

I am just following up on this. Is there anything else I can help with? If so, please let me know.