5 Things You Should Do After Bankruptcy

bankruptcy

5 Things You Should Do After Bankruptcy

The widespread spread of Covid-19 has now harmed many people, including business owners. Many small, medium and large businesses have gone bankrupt due to the lack of economic activity.

But that doesn’t mean you have to give up on the current situation. Because there are always lessons and lessons behind failure that you can take.

In the world of business or business, the risk of bankruptcy is unavoidable. But most importantly how, someone can get up to start his business.

Sometimes the story of someone’s bankruptcy is often a separate motivation that strengthens intentions and determination.

Because not a few people who fail several times in their efforts and then they rise to be able to achieve success.

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There are two options you can take when you experience bankruptcy. Do you want to get up or give up?

So how do you deal with the bankruptcy that you experience? Here are 5 things you should do when you experience bankruptcy:

1. Know the causes of bankruptcy

The first step you have to do is find out the cause of bankruptcy. Identify and understand the shortcomings and any mistakes after which they can be slowly corrected.

This is important so that you can plan improvements to bounce back, because every failure is impossible without a cause. By knowing errors and their causes, you can learn from them.

One of the mistakes you can learn is like the mistake of the Marvel comics company, which went bankrupt and had to be trapped in a huge debt.

The reason is the lack of a good marketing strategy that introduces too many characters at once in the comics.

From there, Marvel learned and continued to innovate to achieve the success it is today with its box-office films.

2. Take advantage of the remaining assets

The goods and tools that you previously used for business should not be left unused when you experience bankruptcy.

So, you should take care of and save the remaining assets, for example, you can rent them out to other people.

Besides being able to earn income, you can use the remaining assets as additional assets to rebuild a failed business.

Instead of just being silent and later it will be damaged, you better take advantage of it.

Assets that you can take advantage of include places, leftover raw materials, machines and others.

Not only that, you must also have other assets that are no less important in the form of non-goods such as clients or partners, business partners, resources, you can also use them by maintaining good communication and friendship with them.

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This is so that when you need them back, you can easily invite cooperation again.

3. Debt management

Facing a business that is experiencing bankruptcy is indeed quite strange. There are a number of issues that must be prioritized immediately, including paying debts.

Because usually this debt comes from your business capital or comes from a number of bills that you have not paid off. This should be the main concern so that little by little it can relieve your burden.

One way that you can take to manage debt is by being open to the conditions that you are facing to the party providing the loan.

Communicate what are your obstacles to the party providing the loan in detail and ask for tolerance. And a better way is to pay off these debts as soon as possible.

4. Reset your lifestyle

Lifestyle is always closely related to money and a person’s habits in his daily life. There are people who are used to extravagance and there are also people whose lives are simple.

However, this extravagant life can sometimes be misleading if someone can’t keep up with their finances.

So when you experience bankruptcy in a business, this lifestyle can be one of the causes.

One thing you have to do when you are down is to manage your lifestyle by allocating money appropriately.

Usually this lifestyle is also a mirror of one’s wisdom. The more they can manage their lifestyle, the wiser they will be in managing their finances.

Start to change your lifestyle when you are experiencing bankruptcy by minimizing expenses, such as starting to stop hanging out at cafes, shopping at malls, or going to nightclubs.

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5. Consultation

If you feel weak in financial management or one of the causes of your bankruptcy is a bad management system. You need to immediately come to a consultant.

Consultants will usually provide direction and solutions to the conditions you are experiencing. They will be able to provide solutions that are measurable, reasonable, and precise.

In addition, you also need guidance to achieve the goals of your business. Discuss with them so that you get enlightenment regarding your future financial plans

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