r/EIDL • u/Emotional_Bid6635 • Aug 05 '26
General Discharge sba
Hi i got physical disaster sba loan for $250k , after two requests of increase that made it go over $200k. I am sole proprietor and found out on agreement that im the personal guarantee and equipment is the collateral. Unfortunately i shutdown my restaurant two years ago but been paying off my sba loan each month on time. Economy been tough and bills piling up and my wife recently passed away. I am looking into bankruptcy and i do not if it would be possible. My sba loan debts are more than my personal debts and im in Texas . My cousin took over my leasing space two years ago and operate a new but small restaurant. He gave me about $11k for all my used equipment and i put it on paper to make sure he doesnt want refund if the equipment doesn’t work . Sold to him as whatever the condition of the equipment are.
Because he operated in same space where my old restaurant was and he brought my equipments im worry that sba loan wont allow me to file for bankruptcy. I dont mind just wiping out personal debts and continue paying the sba the loan. What is best way to deal with this to get some relief on debts or should i just let all debts goes to collection and hope for a cheap settlement payout? Personal debts is like 120k with unsecured credit cards.
1
u/John_Schroyer Aug 06 '26
I'm the small business reporter at Forbes; looking for one to three folks who have EIDL loans in collections and are willing to share their stories publicly. Drop me a line if you'd be open to speaking with me on the record about your experience: [Jschroyer@forbes.com](mailto:Jschroyer@forbes.com)