So, your small business is starting to show signs of financial stress. You’ve followed the advice in my earlier bankruptcy blog and kept the taxes and basic bills paid, cutting back on expenses wherever possible, all the while negotiating more lenient payment terms with suppliers and creditors.

As a small business bankruptcy attorney in Columbus, Bloomington, Anderson, and Indianapolis, I can tell you about two other steps you’ll want to take to protect your business interests, and one thing not to worry about.

One item to put on your to do list is locking in insurance. If you end up filing bankruptcy, you may have trouble finding an insurance carrier willing to issue, or to renew, coverage. So, right now, get insurance in place that extends at least a year. Then, as long as you keep the premiums current, the insurance can’t be cancelled.

Second to-do: make sure you have money in a checking account with a bank other than the one to whom your business owes a lot of money. Many business loans have terms allowing the lender bank to go into the checking account you have with them without notice to get payment.

One thing not to lose sleep over is having the utilities shut off. If you’ve paid the bills, just because you file bankruptcy, the utility companies cannot shut off services, although they might require a deposit.

I think you can see why I advise thinking about all these details way in advance of being at the point of a forced bankruptcy. The more preparation you can do up front, the less aggravation later on. And, as I’ve said before, times are hard, but with some preparation and expert professional advice, you can weather the storms.