"Okay dude." *Hits him with the mute button*

Man this was frustrating to listen to

Runs a business but doesn't know how much he is making? That is a big red flag!

It's astonishing how little this guy knows about his business' finances.

If he won't listen, don't worry life will teach him.

He just wants the quick way out, that's why he's not bothered about understanding his business finances.

Need to change the title to “What’s a spread sheet?”

This guy has been told by his accountants and Dave he is not bankrupt and that he should be making a profit. He’s not running his business at all. Also, it sounds like he and his family have a spending problem. The business sounds healthy, his management of it is the issue.

I love it when Dave makes ppl stutter and start mumbling. He just didn’t want to hear the truth

being qualified to lift furniture onto a truck doesn't make you qualified to own and run a moving business

People who don't keep track of what their profits are should not be maintaining a business. Revenue - Expenses is literally Business 101

Betcha he is living on all his 'profits', then borrowing for expenses instead of stashing a portion of profits as insurence against unexpected expenses. I am not a business owner, so take my comments with a grain of salt!! I am learning a whole lot here about handling money!!! Bless you, Dave!

I don’t know why he called he’s already made his mind up.

He sounds like a surgeon going into a surgery with no information while blindfolded.

Whewww, Dave showed tremendous restraint on this one. I was waiting for him to rightfully go off 😂😂😂

That guy was freakin' clueless and called dead set on bankruptcy. Didn't wanna hear anything except for Dave to say, yeah, go for it.

Open rebuke is better than secret love. Faithful are the wounds of a friend.

This is just so sad that a guy working so hard in his business knows so little about how to manage a business. I feel bad for the employees.

Why does he need an accounting team? That just seems so weird. I've been running a business for 17 years and I just try to keep it as simple as I can. I get out my Excel spreadsheet every month and I work my way through my expenses, pay my bills, create my invoices, etc. I know exactly what I make per month and exactly where my money is going. I think he needs to just simplify things.

Dave estimated he should have 200k per year profit from the business. I bet this guy lives in a million dollar home and spends 300k per year. 100k in the hole every year will put your business at risk in bankruptcy.

How can you own and operate a business and not know if you're profitable?

Dave you and I both count money, not sheep, before falling asleep. Amen.

This is what an Office Manager does, they keeps track of all filings, accounting,due dates, vendors, shipments, etc. He sounds like he hates office-y stuff. Dude either works on the job with the movers, or chooses to remain out of the office and in the golf course. Due diligence bro!

Lol the music when he’s talking

I think he is in denial. He must have spent too much personally. Plain and simple.

Most business owners that fail are bad at actually running their business. If they brought on someone to “manage” their biz and instead focused on creating the actual product or service, they’d have a chance at success. It’s challenging to be the CEO, CFO and sales manager all at the same time. Most businesses take more than one person to run all the departments.

The worst in the world are predatory loan people. Usury rates coupled with personal guarantees means this headache will follow you even if the business shuts down.

He sounds like a addict, he doesnt want to know what happened to the money cause he may already know

The started the music trying to get him off the phone 🤣

Chris in Manassas - Do you use Every Dollar for your home budget? It helps you get organized and find solutions to your problems (that don't include bankruptcy). I know you mentioned a software system that your accountants use - but if it were me, I would put the business finance info on the Every Dollar system. I believe if you do this, 3 months from now, you will OWN this situation. Every Dollar was key for me in seeing where I was being an unorganized financial idiot.

He sounds like a ship captain who is trying to plot the direction of his ship while not knowing if it is taking in water.

Something is missing in this story. Addiction to drugs ? Gambling ?

The problem is he borrowed to much money to run his business. Bad idea.

Chris was so fixated on Ch11 that he didn't even hear Dave....

You need to run the profit and loss statement before you even consider filing a Chapter 11 or else you have no Chapter 11 case. Look at the financial statement work companies put in to show their attempts at re-organizing before they do a chapter 11, any chapter 11 companies. Research them at least.

he feels like that because in his mind he hears the final saying everything is good but somehow his eye see that there no money to pay any one

Dude needs to find a company controller, best if his wife does it.

He doesn't want the business. Figure out what ya got and sell it if you can.

-2020, moving company is booming I hope this guy made it through. Hugs

He runs a moving business? How's that seasonal, surely people move home all year round?

Running a business is stressful enough without being scatterbrained about your books. This guy is a mover, not a businessman. He'll never run a successful business until he changes that.

Well done Dave Ramsey, this was a hard phone call, guy was clueless!

Don’t file 11 - there are companies out there that will fight to push off and provide a period of relief or change your MCA payment (rapid advance debt).

He called in May . .. I think he wanted to declare bankruptcy BEFORE his business makes more money.

Asset protection is what he needs

I can tell he's not a number guy. He prob doesn't know what 1+1 is. He needs to find someone who he can trust to do the number for him. At worst someone stealing money from him.

Jesus christ your already paying accountants this is what they do!

This guy is a MESS!

Sell the business to someone that cares about it

I have some questions? And than some solutions? First, what is his and his partners salaries from said company? Also what does their personal expenses amount to? Solution: Send in a Revenue Agent and a Forensic Accountant to identify the problem. 🤷‍♂️ Simple........ 😉😂

Owns I million dollar business “I know what I’ve been told”

Rapid advance for $50,000 is just insane.

Why call in if you already made up your mind on what you’re gonna do?

How does someone have a $1.4mil business and not know if it is making money?

His business doesn’t sound like that big of a deal to not know if he’s making a profit.

This guy runs a business. I can run a business! Rapid Advance!

The character gordon gecko in wallstreet said it best " a fool and his money are lucky to get together in the first place" This guy was definitely lucky to get the money but not wise enough to handle it.

Was there any update on this situation? If all of the transactions are in Quckbooks and correctly categorized, the program will generate a standard set of financial statements; P&L, Balance sheet and even a cash flow statement. It sounds like this guy is probably either: 1: Overspending, and to keep overspending he borrowed all kinds of money from the business. Quickbooks would show that he is profitable but he is taking out of the business more cash than it can provide so he ends up borrowing against the business so he can take the money out for his spending. 2: Losing money with the business. He has all kinds of revenue, but it is too little or worse, he is really losing money every year. The borrowing is being done so he has some cash for himself plus cover the operating losses. In either case, a Chapter 11 isn't going to help since that would only really just allow him the reschedule the debt or convert debt into equity; but cost all kinds of money in legal fees. I have seen a few smaller businesses do a chapter 11 and the fees were over $100K, and those had to be paid basically up front. The retainer in one was something like $5K with a cashier check followed by something like another $20K in cashier check just prior to filing. Chapter 11 isn't going to fix his problem and would only make things worse, so bad that I expect the company would be simply out of cash and unable to operate.

His business uses an accounting firm. He uses Quickbooks. He hasn't got a P&L. He doesn't know where the business is financially. Something doesn't add up here. All I got from the brief conversation is that he has a cash flow problem. Likely why he signed up for what appears to a shady LOC that does daily ACH debits to repay the loan.

I don’t understand how a person can be so clueless and still be able to own a business that generates a million dollars.

Wow! This is not someone who should be running a company

Dave: You can save the business. Yeah, but he clearly doesn't want to. For whatever reason he's lost all interest in it. Maybe it's something he and his ex-wife started before the divorce, maybe someone died. He doesn't want it anymore.

He's still responsible for the money even if he does file for bankruptcy. Sounds like the guy hired just as incompetent people as him for accounting.

Takeaway here: Don’t run a business if you can’t spell business

how do you run up so much debt on a moving business??

Sounds like the business is running him... Sad.

I don't run a business but isn't it your job to know those basic numbers off the top of your head, especially when you're considering bankruptcy. Is he just not interested in what they are? Sounds no different than being disorganized with your personal finances and considering bankruptcy, the answer to his problem is obvious and he still didn't get it. You need someone who pays attention to detail and not throw your hands up and look for the out.

I considered starting a moving business. It's very hit or miss.

How did this guy build a million dollar business without having the first clue about anything about it...? I didn't realize that was possible.

Is the accounting team gouging him?

How the heck do you not know if you are making a profit?

I'm thinking high school diploma meets the real world.

Why would Dave not recommend bankruptcy if you’re not intending to ever use your credit ?

music too loud

This guy is just disorganized, probably from bad management and accounting, he needs to sit down with his auditor and figure out where his money went and if he is making a profit.

12k in worker’s compensation???

This guy is overwhelmed to the point he stop paying attention.

There's also a chance his accountant is scamming him.

Oh my God. You start SMALL. Like running a lemonade stand. You keep track of how much you profit and go from there.

This guy just sounds incompetent. Chances are he's profitable and could sell to get himself out of this.

He's probably paying his residential bills directly from the business checking account

what's wrong w the music

Owning a business is not for everybody

How dumb is this caller? How do you run a business and not even bother asking whether it's making money? Does he not even care whether it's worthwhile for him to keep his doors open?

I want to start a business about something. I'll borrow the money and make millions somehow selling something.

If you don't know your finances, you don't know your business.

Unfortunately for me in today's world everything being to PC I would never own a business.

Not everyone is made to be a business owner and that’s okay; this guy just likes to say “I’m a business owner”, he likes to play the part.

just tell him the truth....HE SHOULD NOT OWN ANY BUSINESS....HE'S INCOMPETENT

So he knows how much debt he has but not how much profit he made?? Lol Wut?🤦 But his accountants are telling him that he should be making profits but he's convinced that he's bankrupt but doesn't find out exactly how much profit he's made.😵🤯 His brain is fried.🍳🍳🍳 Does he still know in what state he's in and whst adress he lives at? Lol.

DERP

Serious shade 03:53

“Dude”

This guy keeps breathing through the mic before he talk 🤦🏽‍♂️

These comments.... We’re too rough on the guy- yea I agree but this is a man who is struggling BC running a business is very very hard. Yeah, there’s technology now that can help but I’m surprised this man even uses quick books as a moving company business. All I could think about was the Democrats that want more taxes from these people...

Rapid advance?

Huh?

It's clear this guy is a hard worker but a terrible business man, if you don't know your numbers you don't know your business. That's basic business 1 on 1.

This one hurt to listen to

Ramsey wasn’t with the nonsense