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Question
I thought I had closed my NH business in 2007 when I indicated on every tax form I had that I was closing my business. However, I did not realize I had to inform the secretary of state and fill out a dissolution form. When I realized this, I tried to voluntarily dissolve my s-corp with the appropriate form and filing fee. They denied my dissolution, because I haven't filed annual reports in the last 2 years, but said that it would be administratively dissolved in September.
My registered agent charged the business after I thought it was dissolved. When I offered to pay them on the condition that they wouldn't ever charge me anything again, they refused, because they are the RA. They are also threatening to send the bill to a collection agency.
Can this bill for my s-corp affect my personal credit rating? I feel like if I pay, they'll probably just charge me for something else immediately.
Dear Jacques:
Thank you for your inquiry. I know little about the protocol or requirements for dissolving a corp in your state. However there are many cost effective companies that can do this for you such as www.legalzoom.com
As for the outstanding invoice, you should have the right to terminate any agency that represented your latest entity. Of course that does not mean they wont try to collect as indicated. If the debt is sent to a collection agency, they are only required to attempt to collect the debt from the responsible party. In this case it was your business, unless you signed a personal guarantee. Collection agencies can report to credit agencies, but only if the debt is your personal responsibility. You have the right to dispute any reporting made erroneously. That said, the creditor (RA) may be threatening you to "pressure" a payment from you. It might be in your best interest to terminate them in writing and include the documentation regarding your corps dissolution and insolvency and see if they still attempt to claim this as collectable. If you did sign some personal guarantee, than it might be better simply to settle with them for pennies on the dollar and call it a loss. They can't bill your company if it does not exist.
Respectfully,
Christine Janklow
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Answers by Expert:
Christine Janklow
Expertise
As President of SettleSource,Inc. a business debt settlement firm, I invite you to inquire about all aspects of business debt solutions to best determine which may be most appropriate. If you have questions such as: What is debt settlement and how process provide debt relief to my business? What options are available to deal with my business debts? Is it possible for a business owner to negotiate their own settlements? Why is debt settlement preferable to filing a bankruptcy or debt consolidation? Why are creditors willing to provide settlements to a business? How will settling debts affect credit scores? or How to rebuild a business after debt is eliminated. Please ask it now! For more information regarding how debt settlement can help your business, please visit www.SettleSource.com and place your inquiry. Mention All Experts to have a confidential no cost consultation with Christine. If this is your business situation time may play a very important factor in getting matters resolved proactively before they have negative affects on the business.
Experience
My expertise is specific to providing business solutions that will have profound positive impacts on the financial health of businesses. I have 25 years experience as an entrepreneur and have developed national sales programs; strategic alliances; product development; marketing programs; business and turnaround plans and debt settlement programs all providing methods to improve the financial outlook for large and small businesses. In the area of commercial debt settlement I have over 10 years experience working with large and medium corporations and closely held businesses to enable successful debt reduction and turnaround. I am a professional debt arbitrator and have negotiated with major banking institutions as well as vendors, suppliers and other trade creditors.
Organizations
Provisors;Turnaround Management Association; Los Angeles area
Publications
Accounting Today; Web CPA; National Restauarant Association;Los Angeles Daily News; Today Magazine Monthly series of business articles entitled "Brand News."
Education/Credentials
Bachelor of Business Administration; Associate of Arts Merchandising
Past/Present Clients
American Airlines, American Express, Safeway Inc., New York Life, consumer products manufacturers; retailers, food service industry and other small businesses and service providers.
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