No life without Sun
This is similar case. A person started a business by taking loans. But unfortunately the business fails. Why should the Government repay the loan? The man may try to re-schedule the loan. The man can sell off the loss-making business, start working and repay the loan. How does the Government come into picture?
Actually we are still not aware of the functioning of the Government. So, we are asking this type of questions.
Caution: Explosive. Handle with care.
Govt has no way responsible for his failures in the business. If he has taken a loan from the bank then bank will realize that with his mortgaged property or asset.
There are other areas like Agriculture sector which is a sector which is contributing to national GDP and the farm production is directly related to the availability of these products in market for consumption of people and Govt has a protection and shelter to this sector and their loans are waived in case of natural calamities.
Individual business are not considered for such waiver by our Govt.
Knowledge is power.
Partha sir, buying an apartment is completely different from running a business.
No life without Sun
There is always a risk for private employees and private employers. If there has been a fraud and the employer has shut down the unit, then there is some hope for all to get some form of compensation.
In today's world, insurance companies are offering products that are offered in western countries
For employees: insurance for work loss,lay off from work where in an Umemployment protection would be given if they meet the ebligibity criteria.
For private businesses:
There is TRADE CREDIT INSURANCE - this offers protection against clients not paying the small businesses after sales, insolvency etc. Apart from this Indian companies also offer insurance for fire,theft,property damage etc which would be useful for private businesses to have some support in handling crisis.
If one is running a business, then they can look into some of these.