I have a friend who is contemplating shutting his start-up down. Because he has more liabilities on the books than assets he would have to file for some form of bankruptcy (I think). My question is whether this could affect his ability to do future start-ups? He's in the United States too so the attitude here tends to be (especially in the bay area) that start-ups go under all the time and it's no big deal. However, his concern is that if in the future he is asked to sign something that indicates that he's never had a bankruptcy, foreclosure, etc. that he couldn't sign it.
I was always under the impression that this only matter from a personal bankruptcy perspective and that if you were the CEO of a corporation that went under it wouldn't matter. Am I incorrect? I know he should consult his attorney but am trying to give him advice so figured I would ask here.