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Question
Hi Christine,
During our divorce my husband and I had to do a short sale on a commercial building that our business was located in. The sale paid the 1st loan but the second loan is and SBA loan and has an outstanding balance. We both signed a personal guarantee when we acquired the loan. Our house was also sold last year and I have the proceeds in a trust account. My Ex husband and I have been doing separated negotiations using the Offer in Compromise form. We were both denied our 1st off of 25,000 each. The current balance is $130,324 which includes $15,263 of interest. My 2nd offer of $50,000 was declined. My Ex has submitted a 2nd offer but will not tell me the amount. Will the SBA negotiate the interest on the outstanding debt if I offer my half of the principle in full? Or do I have to offer the full amount of my share of the debt?
Alice:
Thank you for your question. The Treasury will want all assets pledged on the loan liquidated before they will consider an OIC. This includes your businesses as well as your home (proceeds), which they are likely privy to. Remember that creditors may be able to research your assets. You and your former spouse need to get on the same page, tell the same story and provide similarly verifiable documents regarding your statement of financial affairs. Make a reasonable cash offer, but make sure it is going to be seen by the highest authority in the department handling your case. In the event you are unable to sustain negotiations, you may want to consider hiring a third party SBA expert to conduct those negotiations on your behalf. My company provides that service should you need assistance.
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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