Ask an Expert: Want to call it quits? Read this first

— -- Q: What is the best way to get out of my business? Long story short, I am a self-employed graphic designer. Business has slowed to a crawl, the bills have piled up, and my credit cards are getting ready to sue me. Please help. — Mark

A:I suppose it is not surprising that I am getting more and more questions like this every day. It used to be that small businesses were better able to handle a recession because other avenues were available to help keep things afloat — home equity, credit cards, SBA loans, etc.

Sadly, those options have mostly dried up so that now, with the economy as battered as it has been, there is not much of a small business "safety net" any longer.

If this is your unenviable plight, here are your choices:

Negotiate:With so many people and business in trouble these days, banks and other creditors are having a hard time of their own keeping their accounts up to date. This presents for the small business owner a potential opportunity.

The last thing your creditors need right now is another 90-day delinquent account, or worse, another account to sell or write-off. You are, strangely, in a power position with not a little bit of leverage.

Use it. Your ultimate leverage is the threat of bankruptcy.

Negotiate the best deal you can, whether that means a deal whereby you keep the doors open and pay more slowly or one where you close the business and agree to pay off the debts.

But the sort of business you have also matters. If you are incorporated, you are not personally liable for the business' debts unless you signed a personal guaranty. If yours is a sole proprietorship, you and the business are one in the same. You better be a darn good negotiator in that case.

Do nothing:Not a few times when I was a practicing bankruptcy attorney, I gave business owners this advice. Sometimes things are not as bad as they seem. Credit card companies, while more aggressive today, also still carefully consider whether or not to sue. The same is true for other creditors. They may wait longer than you might otherwise think. This gives you extra time to try and get things in order.