Minneapolis Estate Planning Attorney Ned Ostenso, discusses small business owners, and how they can wind down a business.
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Well there is when a business is winding down, generally that’s happening because things didn’t go quite as well as the business owner wanted to, and they’re going to close shop. So it’s really important for a business owner to have a plan that’s going to take care of paying the creditors off, and taking care of bills, and terminating contracts that they have with existing vendors and terminating other relationships. And in fact, Minnesota statute provides for different ways in which a business owner can shut down its business, wind down its business. So it really depends upon the business owner’s circumstance, but what those provisions are really trying to do is to help have a plan in place so that everything is taken care of, so the business can properly shut down, which lessens the exposure of the owners from liability down the road.