www.iva.co.uk

Hi wondered if any one could offer some advice;
I have run my own business for the last 5 years and have borrowed, borrowed & borrowed again to keep it afloat.
I am at a stage now where I owe around £90,000 and think I have to face facts that the business must close.
I owe creditors around £40K and banks credit cards the £50K.
I have been offered a job with a friend if the business closes with a salary of around £22k.
The problem I have is I am due to pay my creditors at the end of this month around £15k and I have £15k in my business account, BUT my father lent me £15k about a year ago and I promised to pay him back and he now needs it quite urgently to put a deposit down on a house.
The question is if I paid my father his £15k and took the job and applied for an IVA would I get into trouble for paying my father back ahead of my creditors? Also would I have any chance of getting the IVA as my disposable would only be around £400 per month?

Thanks in advance for any replies.

Hello and welcome to the forum, i'm no expert just a person in debt, just a quick question was any of your borrowing secured?
Also i think that your father will have to be listed as a creditor or he will have to wait till the end of the iva.
A PROFESSIONAL WILL BE ALONG TO CLARIFY THIS.

blue [:)]

Hi there

You must not pay your father back in preference to the other creditors, but with an initial sum of £15,000 and ongoing regular payments of £400 per month, this ought to see a very good IVA offer to all creditors.

I suggest that you take advice from a licenced insolvency practitioner who can advise you of all options available and take over any of the concerns you may have in closing your business.