How to Consolidate Business Debt

Series Summary

Personal finance is the application of financial principles to the monetary decisions of an individual or family unit. It addresses the ways in which individuals or families obtain, budget, save and spend monetary resources over time, while taking various financial risks and future life events into account. Components of personal finance might include checking and savings accounts, credit cards and consumer loans, investments in the stock market, retirement plans, social security benefits, insurance policies and income tax management. In this free video series on personal finance, a licensed finance planner discusses debt and debt consolidation. Find out how to gradually chip away at debt by creating a pyramid plan, beginning with the smallest bill or the highest interest rate. Learn the ins and outs of debt consolidation, debt settlement and debt relief using this helpful financial guide.

Video Transcript

"Hi, my name is Bill Rae. I'm with HBW of Florida, and I have been in the finance field for well over twenty years, and have helped many individuals and businesses in their financial situations. Today, we're going to talk about how to consolidate business debt. And I'm going to have to take the assumption that you're trying to avoid a chapter eleven, which is a reorganization bankruptcy for businesses. If this is the case, then life can be very simple. It's going to be tough, but it isn't as difficult as you think. Two things you need to do and stay focused on. One is; you need to cut your spending. The second is; you need to increase your income, assuming we're in business to stay. So, how do you pay off business debt? You need to start with a list of who you owe, how much you owe, and what the terms are to repay. This can start with a simple piece of paper. Simply list your creditors. List what they're asking for. Try to go back to them. See if some of them are willing to take less. If not, simply make terms and continue to pay. Remember, you have rights on your side. It is tough, but you can handle it. There is no magic pill. It took you a while to get there, it'll take you a while to get out. Be firm and continue to move forward. There are ways that businesses can get ahead or get out of the debt they're in, simply by asking for advances on their clients. This is another way that many of our clients have gotten their way back to firm, solid ground. My advice, as always, is to seek good counsel from people such as myself. Help you structure a plan, and then work the plan. My name is Bill Rae, I'm with HBW, and I'm helping you build wealth."