95% of Owners of Sole Proprietorships in NYC are Totally Exposed to Third Party Liability and Customer Lawsuits. The bad news is that sole proprietorship bankruptcies are not “business” bankruptcies, so sole proprietorship bankruptcies are not counted. A 2014 SBA “Frequently Asked Questions” about small business found that “many business owners file personal bankruptcy instead of business bankruptcy.”
The good news is that business bankruptcies are decreasing. In its “New York Small Business Profile” the SBA notes, “Business bankruptcies declined in net from 2010 to 2013, signaling a stronger state economy.” The ugly news is that we don't know how many sole proprietorships just shrivel up and blow away. The SBA mentions, “Nonemployer firms [mostly sole proprietorships] have turnover rates three times as high as employer firms, mostly because it is easier for nonemployers to start and stop...”
I outline three difficult situations owners of sole proprietorships in NYC struggle with, and then tell you about a FREE report that gives you a recommended course of action and an affordable self-help solution.