• Home
  • Economics
    • Scarcity
    • Opportunity Cost
    • Goods and services
    • Market and economic systems
    • Economy
    • Production
    • Factors of production
    • Production function
    • Equilibrium
    • Economies of scale
    • Economies of scope
    • Efficiency
    • Productivity
    • Comparative advantage
  • Microeconomics
    • Utility
    • Supply and demand
    • Elasticity
    • Economic surplus
    • Consumer surplus
    • Producer surplus
    • Market failure
    • Market structure
  • Macroeconomics
    • GDP
    • Economics GDP Formula
    • GNP Formula
    • NDP
    • National income
    • Disposable income
    • Aggregate demand
    • Aggregate supply
    • Unemployment
    • Inflation
    • Interest rate
    • Business cycle
    • Central bank
    • Investment
  • Guest Post
Wednesday, June 25, 2025
  • Login
EconGuru
  • Business
    • All
    • Accounting
    • Entrepreneurship
    • Management
    • Marketing
    • MBA
    Guest Experiences at hotel

    Exceeding Expectations: How Offering Unique Guest Experiences Can Drive Hotel Revenue

    Understanding Performance Reporting for Your Company

    Easy Ways to Ramp Up Security for Your Small Business

    3 Things You Should Know Before You Start a Web Design Firm

    5 Ways to Make Money When You Are Disabled

    5 Business Ideas You Can Run From Anywhere In The World

    5 Best Books to Learn Stocks Trading: Study for Successful Investing

    6 Best Real Estate Books to Get You a Solid Education In Real Estate Investing

    Must-Read 5 Best Business Books For Men And Women Who Love Success!

  • Economics
    • All
    • Basic Economic Concepts
    • Economic Data
    • Economic Mathematics
    • Economics Diagrams
    • Economics Education and Careers
    • Environmental Economics
    • International Economics
    • Macroeconomics
    • Microeconomics
    Crypto Fomo and Panic Selling

    Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

    bitcoin trading

    How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

    this image describes bear vs bull market.

    Bull vs. Bear Market: 8 Key Indicators to Watch in Crypto Markets

    How to Study for an Economics Exam

    Top 100 Dataset Websites & Sources for 2021

    “Capital in the Twenty-First Century” – a comprehensive master piece on world Economy and the reign of inequality

    Freakonomics: a book for unconventional thinkers and practical millenial economist

    Is the Study of Economics Truly a Science?

    What is Your Contribution to National Income?

    Trending Tags

    • Finance
      • All
      • Basic Financial Concepts
      • Corporate Finance
      • Personal Finance
      Crypto Fomo and Panic Selling

      Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

      bitcoin trading

      How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

      this image describes bear vs bull market.

      Bull vs. Bear Market: 8 Key Indicators to Watch in Crypto Markets

      decentralised finance defi

      10 Best Tips for Choosing the Right DeFi Platform

      bitcoin

      5 Factors That Affect Bitcoin Prices and Volatility in the Financial Markets

      corporate event speaker

      How To Attract Industry Experts To Speak At Your Next Corporate Event

      Best 4 Personal Finance Software on Amazon

      The best invoicing softwares for small businesses

      5 Best Invoicing Software for Small Businesses

      Cryptocurrency: In Light of the Increased Volatility, Is It Worth the Risk?

      Trending Tags

      • Insurance
      • Investing
      • World
        • Markets & Industries
        • Public Economics & Finance
      No Result
      View All Result
      Write for Us
      EconGuru
      • Business
        • All
        • Accounting
        • Entrepreneurship
        • Management
        • Marketing
        • MBA
        Guest Experiences at hotel

        Exceeding Expectations: How Offering Unique Guest Experiences Can Drive Hotel Revenue

        Understanding Performance Reporting for Your Company

        Easy Ways to Ramp Up Security for Your Small Business

        3 Things You Should Know Before You Start a Web Design Firm

        5 Ways to Make Money When You Are Disabled

        5 Business Ideas You Can Run From Anywhere In The World

        5 Best Books to Learn Stocks Trading: Study for Successful Investing

        6 Best Real Estate Books to Get You a Solid Education In Real Estate Investing

        Must-Read 5 Best Business Books For Men And Women Who Love Success!

      • Economics
        • All
        • Basic Economic Concepts
        • Economic Data
        • Economic Mathematics
        • Economics Diagrams
        • Economics Education and Careers
        • Environmental Economics
        • International Economics
        • Macroeconomics
        • Microeconomics
        Crypto Fomo and Panic Selling

        Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

        bitcoin trading

        How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

        this image describes bear vs bull market.

        Bull vs. Bear Market: 8 Key Indicators to Watch in Crypto Markets

        How to Study for an Economics Exam

        Top 100 Dataset Websites & Sources for 2021

        “Capital in the Twenty-First Century” – a comprehensive master piece on world Economy and the reign of inequality

        Freakonomics: a book for unconventional thinkers and practical millenial economist

        Is the Study of Economics Truly a Science?

        What is Your Contribution to National Income?

        Trending Tags

        • Finance
          • All
          • Basic Financial Concepts
          • Corporate Finance
          • Personal Finance
          Crypto Fomo and Panic Selling

          Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

          bitcoin trading

          How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

          this image describes bear vs bull market.

          Bull vs. Bear Market: 8 Key Indicators to Watch in Crypto Markets

          decentralised finance defi

          10 Best Tips for Choosing the Right DeFi Platform

          bitcoin

          5 Factors That Affect Bitcoin Prices and Volatility in the Financial Markets

          corporate event speaker

          How To Attract Industry Experts To Speak At Your Next Corporate Event

          Best 4 Personal Finance Software on Amazon

          The best invoicing softwares for small businesses

          5 Best Invoicing Software for Small Businesses

          Cryptocurrency: In Light of the Increased Volatility, Is It Worth the Risk?

          Trending Tags

          • Insurance
          • Investing
          • World
            • Markets & Industries
            • Public Economics & Finance
          No Result
          View All Result
          EconGuru
          No Result
          View All Result

          Home Index Finance Basic Financial Concepts What is Bankruptcy and How Do You Declare Yourself Bankrupt?

          What is Bankruptcy and How Do You Declare Yourself Bankrupt?

          Anthony Carter by Anthony Carter
          September 30, 2011
          in Basic Financial Concepts, Corporate Finance
          0 0
          A A
          0
          Share on FacebookShare on TwitterShare on LinkedinShare on RedditShare on WhatsappShare by Email

          These days, with the economy going through a rough patch, you will frequently hear about businesses going bankrupt. The reality is that even in good times there are always plenty of companies going into bankruptcy. You may have wondered though about what it exactly means to go bankrupt and how do you declare bankruptcy?

          What is Bankruptcy?

          You might also like

          Crypto Fomo and Panic Selling

          Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

          January 9, 2025
          bitcoin trading

          How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

          December 23, 2024

          The idea of bankruptcy actually originated in the UK and businesses have been able to declare that they are bankrupt since the middle of the sixteenth century.  The original idea was that all the assets of a failing company could be seized in order to pay back money to those who had provided credit. Originally those declaring that they were bankrupt would be sent to prison if they could not pay back all the money they owned; thankfully these days the government is more reasonable. Those lending money to businesses always know that there is a risk of bankruptcy.

          In modern times a business (or individual) declares bankruptcy when they are unable to pay back money that they owe to creditors. It is also possible for those who are owed money by a business to file a petition which leads to involuntary bankruptcy. Different parts of the UK have slightly different laws in regards to Bankruptcy; Scotland, Northern Ireland, and England & Wales have their own laws. Other parts of the world have their own specific bankruptcy laws.

          The Pros and Cons of Bankruptcy

          The main benefit of bankruptcy is that you will be freed from your debts and your assets will be divided among your creditors as fairly as possible. For many people going bankrupt can actually come as a relief; especially if they have been struggling for a long time to keep things together. After bankruptcy there will be some restrictions but it is possible to go on and start afresh.

          The UK Insolvency Helpline lists a number of negative consequences of going bankrupt in the UK and these include;

          –    Difficulties getting credit in the future
          –    You can never again be the director of a company
          –    You will have lost control of your business assets when you went bankrupt
          –    You will be banned from certain professions including; charted accountant, lawyer, MP, and Justice of the Peace
          –    You will not be allowed to form another limited company with permission from the court.

          How do you Declare Bankruptcy?

          DirectGov offers useful advice for those considering bankruptcy.  In the UK it is possible for any person to go to court and declare themselves bankrupt. The only way to become officially bankrupt is to file a petition. As already mentioned your creditors could cause you to go into involuntary bankruptcy if you own them more than £750 and they make a petition to the court. You will need to fill out a lot of forms and you also have to pay a fee to be able to do this; at the moment it costs about £500 to declare yourself bankrupt.

          Tags: bankruptbankruptcybankruptcy lawsdeclare bankruptcyeconomyfailing company
          Previous Post

          What Are The Different Types Of Stock You Can Invest In?

          Next Post

          How to Avoid Falling Victim to a Ponzi Scheme Scam

          Anthony Carter

          Anthony Carter

          Anthony Carter currently resides in Fife, Scotland with his wife Lisa, and their three wonderful children. As a senior editor for various publications, if he's not reading and writing, you would find him photographing and traveling to some of the most far-flung locations around the world.

          Related Stories

          Crypto Fomo and Panic Selling

          Avoiding Crypto FOMO and Panic Selling: Emotional Control in Crypto Investing

          by Heather Sloan
          January 9, 2025
          0

          Have you ever been a victim of crypto FOMO? Ever rushed to buy cryptocurrency because others were doing the same,...

          bitcoin trading

          How to Trade Bitcoin with Only $100 for Beginners: A Complete Guide

          by Heather Sloan
          December 23, 2024
          0

          Can you start Bitcoin trading with as little as 100 dollars?" Yes! And here is how you do it!  Most...

          this image describes bear vs bull market.

          Bull vs. Bear Market: 8 Key Indicators to Watch in Crypto Markets

          by Heather Sloan
          December 1, 2024
          0

          In the investment world, markets act as battlefields between the divinely powerful opportunities of bulls and bears. While a bear...

          decentralised finance defi

          10 Best Tips for Choosing the Right DeFi Platform

          by Heather Sloan
          December 1, 2024
          0

          10 Best Tips for Choosing the Right DeFi Platform Decentralized Finance (DeFi) transforms how humans manage their finances today by...

          Next Post

          How to Avoid Falling Victim to a Ponzi Scheme Scam

          What is EconGuru?

          EconGuru

          EconGuru was founded in 2006 by a group of Economics students who are passionate about learning and sharing everything in Economics, Finance, and Business.

          The mission is to improve economic and financial literacy of the general public so people can better understand and react to economic problems and make good financial decisions.

          We have no social profiles on any network, and if you like us, bookmark EconGuru.com or share us with your friends.

          Textbooks

          • Intro to Economics
          • Firms & Industrial Structure
          • Fundamentals of Ecology
          • Economics
          • Macroeconomics
          • Microeconomics
          • Useful Links

          © 2006 - 2022 EconGuru - Your premium guide for Economics, Finance, and Business. Privacy

          Welcome Back!

          Login to your account below

          Forgotten Password?

          Retrieve your password

          Please enter your username or email address to reset your password.

          Log In
          No Result
          View All Result
          Write for Us
          • Banking
          • Books & Textbooks
          • Business
            • Accounting
            • Entrepreneurship
            • Management
            • Marketing
            • MBA
          • EconGuru
          • Economics
            • Concepts
            • Microeconomics
            • Macroeconomics
            • Economic Data
            • Economic Mathematics
            • Economics Diagrams
            • Education and Careers
            • Environmental Economics
            • International Economics
          • Finance
            • Concepts
            • Corporate Finance
            • Personal Finance
          • History of Economics
            • Economists
          • Insurance
          • Investing
          • Markets & Industries
          • Public Economics & Finance
          • World Economy
          • Login

          © 2006 - 2022 EconGuru - Your premium guide for Economics, Finance, and Business. Privacy

          Are you sure want to unlock this post?
          Unlock left : 0
          Are you sure want to cancel subscription?