Bankruptcy is not the only option when your business is in financial trouble. A Division 1 Proposal can help you avoid Bankruptcy and get your business back on track. You’re certainly not ready to walk away. But it’s becoming clear that the financial hardship will not resolve on its own. You need a little help.

If this is the situation for your company, it may be time to take action. Much like a Consumer Proposal, this option for businesses allows you to pay a fraction of your unsecured debt.

What is a Corporate Proposal or Division 1 Proposal?

A Division 1 Proposal is a legal process governed by the…

No one wants to be indebted to the Canada Revenue Agency (CRA). However, every year thousands of Canadians find themselves owing more in income tax than they can afford. For those who are self-employed or those with multiple streams of income, it may be a matter of not saving enough to cover the tax bill. Whatever the reason, if you owe the CRA money and are struggling to make your payments, it’s important that you understand the rules surrounding CRA debt forgiveness.

What Happens When You Owe the CRA Money?

If you owe the CRA money, you will have to pay back your debts in full. The CRA…

If you’re behind on your mortgage payments, you may be wondering whether filing Bankruptcy can help save your home. Foreclosure is an undesirable outcome for both you and the lender. What can you do? Can Bankruptcy hurt you or help you? Here’s what you need to know about Ontario mortgage foreclosure and Bankruptcy in Canada.

Power of Sale, Foreclosure, Bankruptcy: What Does It All Mean?

Before you make any decisions you’ll need to understand what each of these legal processes entails and how they might affect home ownership. Let’s take a closer look.

Foreclosure is a word that may send shivers up the spine of any homeowner. But keep in…

If your small business is in trouble, there are some important facts you need to know about business Bankruptcy vs. personal Bankruptcy.

The economic crisis has been tough on many small businesses. Some have eliminated staff, cut their hours of operation, or closed altogether. Bills are being paid late or sometimes not at all. If you are one of the unfortunate business owners whose income has been significantly reduced, you may be considering Bankruptcy.

You are not alone. There are actions you can take, however, that will mitigate the damage or, if possible, help you avoid losing your business altogether…

Trouble with your income & expenses?

Are you having trouble keeping track of your income and expenses each month?

Are you constantly overspending and taking on more debt?

Have you considered using a budget?

The “B” word (budget) can conjure a number of negative thoughts and assumptions. Words like “rigidity,” “deprivation,” and “limitation,” might come to mind. While budgets might have a bad rap, the intention is good. A well-designed budget can create awareness, motivation, and a sense of control. The purpose of a budget is to help you improve your financial situation.

While budgeting can seem intimidating or overwhelming…

If you are going through bankruptcy or insolvency, the process will be administered and supervised by the Office of the Superintendent of Bankruptcy (OSB). While going through this procedure, it may help to know what the OSB does for both you and your creditors. The decisions made at this office have a significant impact on the financial future of both individuals and companies.

What Does the Office of the Superintendent of Bankruptcy Do?

The Office of the Superintendent of Bankruptcy (OSB) is a government body under Innovation, Science and Economic Development Canada. …

Can Ontario’s bankruptcy exemptions protect your most valuable assets? Indeed, they can. One of the most pervasive myths about bankruptcy is that you cannot file when you have assets you’d like to keep. This is simply not true. The purpose of bankruptcy is to afford you a fresh start, unencumbered by debt, with greater control over your financial future.

Contrary to popular misconceptions, you can file for bankruptcy if you have assets. You’ll keep your home. You’ll still be able to lease or own a car. And your retirement savings will go largely untouched. …

Did you know that an Ontario bankruptcy is not your only option when you have too much debt? It’s true…you actually have three main options.

And…did you know that the only person to help you with all three options is a licensed insolvency trustee?

You may wonder…why a licensed insolvency trustee? Is it the same as a credit counsellor? In short: no.

A licensed insolvency trustee or LIT is a federally regulated debt professional who can present you with all your choices.

LITs are the only people who can file an Ontario bankruptcy or a consumer proposal on your behalf…

You’re in the middle of a money crisis and you need emergency financial assistance right now. Maybe you or someone you care for has Covid-19 or been exposed to it. You may be between jobs or out of work for the moment. Perhaps you’re looking for a rent assist program as you can’t find a place to stay, like, yesterday. But with too many expenses and not enough income, what can you do? If only you had enough money to get you through until life starts to normalize once again.

There are a slew of options out there from payday…

According to Statistics Canada, the average net savings for Canadian households was $852 in 2018. For the lowest income earners, consumption still exceeds income.

Unsurprisingly, debt and empty savings accounts are the norms for many Canadians.

Now is as good a time as ever to go over how to keep track of your money during challenging times.

With Canadian household debt so high, staying on top of your finances seems like a hopeless goal for many. As discouraging as these financial realities are, budgeting is critically important.

Fortunately, keeping track of expenses and setting budgets is actually very easy. You…

Adamson & Associates, Inc.

Licensed Insolvency Trustee. Experts in bankruptcy, consumer proposals, credit counselling, and other debt solutions in Ontario.

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