In today’s Startup Therapy Podcast, Wil and Ryan discuss what will happen to the founder when the Startup company goes down. When a company starts to wind down, you might be shocked how everything maps back to the founder, from office leases to subscriptions, and now all of a sudden these company liabilities become your personal liabilities. How can you avoid this from happening to you?
Show Notes
In today’s Startup Therapy Podcast, Wil and Ryan discuss what will happen to the founder when the Startup company goes down. When a company starts to wind down, you might be shocked how everything maps back to the founder, from office leases to subscriptions, and now all of a sudden these company liabilities become your personal liabilities. How can you avoid this from happening to you?
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Resources:
What to Listen For
- 00:00 Intro
- 02:50 You’re stuck with the liabilities
- 08:27 Who pays the wind-down entity?
- 10:58 Filing for personal bankruptcy
- 14:14 Everything maps back to you
- 16:48 Adding more liabilities
- 19:37 Creditors will follow you
- 21:18 Can you sign under the company’s name?
- 23:59 How safe are you inside the corporate veil?
- 28:52 Buying the good stuff only
- 32:15 Typical timeframe for winding down a company
- 33:42 The personal liability is the scariest part
- 36:32 Be mindful of what you sign and don’t keep adding liabilities
- 38:09 Treat those liabilities as your own
- 40:05 You can renegotiate
- 41:36 No long term agreements
What is Startup Therapy?
The "No BS" version of how startups are really built, taught by actual startup Founders who have lived through all of it. Hosts Wil Schroter and Ryan Rutan talk candidly about the intense struggles Founders face both personally and professionally as they try to turn their idea into something that will change the world.