Texans who are struggling with their finances may have trouble seeing a bright future. After all, creditor harassment, foreclosure, and repossession, in addition to the possibility of wage garnishment, can leave an individual totally overwhelmed and not knowing how he or she is going to make ends meet. Although individuals in this situation may be well-aware of the bankruptcy process, they may find themselves concerned that pursuing bankruptcy will permanently scar their financial record, preventing them from securing the financial freedom that they ultimately want.
This is an unfounded fear, as can be seen by the life story of Linda McMahon, who, together with her husband Vince, built the World Wrestling Entertainment conglomerate. McMahon, who now heads up the federal government's Small Business Administration, recently shared the story of her and her husband's bankruptcy. It came in the 1970s after the couple invested heavily in a construction company upon the advice of their accountant. The business subsequently went belly-up, and the McMahons found themselves unable to pay off their debts, which resulted in them losing their house. Linda's car was even repossessed, all during a time when the couple was expecting their second child. As a result of the financial strain, they sought bankruptcy protection.
McMahon said that she and her husband learned valuable business lessons from the experience that helped pave the way for their future success. According to her, she learned to follow what she was passionate about and make hiring decisions based on gaps in the business. She said that she typically would only hire people who knew more about what they would be doing than she did.
McMahon's story isn't the only one of success post-bankruptcy. Countless other Americans have successfully navigated the bankruptcy process, obtained the fresh financial start they needed, and moved forward in a fruitful and financially successful life. Therefore, those who are struggling to make payments on their debts should consider learning more about personal bankruptcy, whether in the form of Chapter 7 liquidation or Chapter 13 reorganization.
Source: CNBC, "WWE billionaire founder: What bankruptcy taught me about success," Leah Ginsberg, May 3, 2017