#031 Bankruptcy, Receivership & County Court Judgements

Welcome to another episode of the How To Raise Money Podcast. Tune in today to hear Ray and Nigel discuss Receivership, Bankruptcy and County Court Judgements and how you can secure investment, even if you have a bad financial track-record or a history with financial difficulty. Your hosts respond to popular demand to answer questions from the How To Raise Money community and provide you with the proven reassurance that anyone can raise finance, start a business and secure investment, if you know how to do it. KEY TAKEAWAYS Just about everyone who you see on TV or present themselves as successful entrepreneurs have been through tough times surrounding finance and financial history.  Even Richard Branson has famously been involved with companies that have been through receivership and bankruptcy. Ensure you are always honest and make your investors, angels, dragons and whales aware of your background, how you got there and remind them of how you will make them money. If you’ve had receivership or bankruptcy against you in the past will it hurt your chances of securing investment? The short answer is No. Depending on the business or investment opportunity investor may invest in you, as the investor and crucial to the success of the deal. Or they may be investing solely in the proposed opportunity and the product or service the company is creating, and therefore your personal history is less relevant. Past mistakes can be dealt with and forgiven. Remember that everyone has at some point had struggles financial. You just need to make sure that your investment opportunity offers an attractive security agreement. Receivership: In law, receivership is a situation in which an institution or enterprise is held by a receiver—a person "placed in the custodial responsibility for the property of others, including tangible and intangible assets and rights"—especially in cases where a company cannot meet financial obligations or enters bankruptcy. Bankruptcy: The legal status of a person or other entity that cannot repay debts to creditors. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor. BEST MOMENTS “Nobody likes to find out further down the line, don’t keep it a secret” “Investors deal with entrepreneurs seeking finance with track-records both good and bad” “There’s always three sides to every story, your side, their side and what actually happened” “Everything you read in the press is exaggerated and a bit of a story” “Company law is UK wide, it’s not a devolved matter” “Be transparent and do your due diligence weather your and investor, or the one seeking finance” VALUABLE RESOURCES https://www.angelsden.com/en-gb/events/ http://howtoraisemoney.co.uk/ CCJ (County Court Judgements) IVA (Individual Voluntary Arrangement) ABOUT THE HOST Ray McLennan is a keynote public speaker and former corporate solicitor who has many years of experience owning and operating a variety of businesses in the UK and Ireland. Ray is the Regional Manager for Scotland & Ireland for Angels Den, which has over 13,500 high net worth Angel investors that help to find funding for property and SME businesses. Ray also helped to create Property Angels Den (PAD) in Sept 2014, which matches High Net Worth Investors with property proposals of all sizes. PAD now meets regularly and has funded dozens of property projects all over the UK. Nigel trained as an accountant but has for the last 11 years run the family care business. With a 7 figure turn-over and over 100 employees, the role has given Nigel quite a few valuable lessons! Nigel and his wife, have focused more and more on property over the last few years. The latest project is a 20 bed HMO with 12 SA rooms. But in the last few years Nigel is now helping property professionals understand that social media is a way to increase your customers, get more deals and earn more profit! CONTACT METHOD Ray@raisingangel