Business Failure = Bankruptcy

I was had a part of this dream, but I also write today after experiencing the other side of this American Dream>>> The Nightmare of a Failed Business.

There were 4 partners in this project. We developed a business plan, none having prior business experience or college educated in the venture. We were all medical types, by trade and education. So, we wrote this fantastic business plan that spelled out the use of every wire tie in the place, presented it and received 100% of our opening capital needs by putting 4 signatures on the line! That simple! We had 175 thousand dollars in about 3 days! We were in business!!! First things first, purchase of machinery and inventory.... money goes fast! 

Eight months into operations and we need a capital injection to pay day to day expenses between  receivables. So, BAM! Another 50K dollars. You do the math. We also had credit (personal because of how new the business) extended for buying computers, billing software, office supplies, and advertising. Things were OK. EXCEPT>>> there were snakes in the grass. 

At the time of this capital injection, one of our partners hooked up with the banker making the loan. WOW! What a way to get in right? Well, this would be fine if the one doing the hooking up was not ALSO married to one of the other partners..... YEP! I did mention the snake in the grass right? Months pass.... lets say about 11 (ELEVEN) of them. The company was paying this partner to run the day-to-day while the other partners continued to work in their prospective JOBS so as not to strain this new business in terms of payroll... this was part of the business plan. All except, of course, the infidelity that has been going on for ELEVEN months. 

Needless to say, the business was driven into the ground --- false reports generated which appeared on paper that things were moving in the right direction, although slower than expected. THEN just like that... the snake appears! The truth comes to light and the doors are closed-- owing thousands in back taxes and other debts that had not been paid in months while the affair has been going on... with the banker! 

The result of this mess lead to our filing for bankruptcy, not corporate, but personal bankruptcy because we had to personally guarantee the credit that was extended for business operations-- to the tune of about $280 thousand dollars, plus taxes!  

So, here we are. College educated with graduate degrees trying to live the American Dream. It was a great time that had been planned to the "T". We are now devastated financially, left with only a dream of what could have been.

The old adage, "Partnership is a sinking ship," still applies!