One of my clients who loss the hotel business because of the recession. He has 10 hotels now and would like to try a bigger hotel to expand his empire. After running less than a year, the hotel owes a lot money including the franchise fee, property tax, employees' salary , bank note and 200K from Gold Maple Realty Inc. The hotel was closed and locked up by the bank due to the unpaid mortgage. He was hiring a lot of illegal immigrants hoping to save some money in the management.
He was trying to run too fast and now he gained nothing but a lot of lawsuit due to breaking contracts left and right. What should he do to avoid this case? In fact it is very difficult to do this because he needs to clean out all the necessary ways to clear all the debt to gain his credit back. Running a business is playing a fire. If you know how to control it, it will give you the best food and keep you warm. Otherwise, it will kill you or hurt you by no time.