Q&A: Can you access credit as a sole trader while under debt counselling?
There is in law no difference between a sole proprietor’s private and business identities
Q: I’m a sole proprietor. If I were to go under debt counselling, what does it mean for my business? A debt counsellor told me that debt counselling is for natural people only. She said that when an individual goes under debt counselling, their commercial capabilities aren’t impaired in the way they are when you’re under debt administration. A sole proprietor can still operate, and debt counselling should not prevent me from being able to access credit for my business, she said. Is this true? — Name withheld
A: Stephan van der Merwe, a senior attorney at the Stellenbosch Law Clinic, responds:..