When you are starting a business, being broke is a bad thing. Having to declare yourself bankrupt is far worse and may seem like it’s the end of the road. But these days, bankruptcy doesn’t have to mean it”s time to pack up shop and give up, there are plenty of people who have managed to recover from a filing for bankruptcy and go on to be successful. Even the richest of people have problems with their cash flow and find themselves in a whole pile of debt. Don’t believe me? Here are 10 famous millionaires that have filed for bankruptcy.
For someone who was given the title of “the wealthiest divorcee in history” you’d think bankruptcy was a word Heiress Patricia Kluge would never have to utter. But unfortunately for her, after years of being one of America’s richest and most extravagant socialites, the bailiffs came knocking. Kludge is working hard to get back on her feet and apparently she is now employed in the winery she built and once owned but has since sold on to Donald Trump.
Speaking of Trump, this guy has spent more time in and out of the bankruptcy courts and should have some sort of membership card. Trumps fourth and most recent appearance was back in 2009 when Trump Entertainment resorts was filed. Trump has also filed bankruptcy over his casino, the Trump Plaza and his Atlantic City Taj Mahal, which pushed him more than $1 million into the red. The presenter and businessman has always bounced back and continued to make money but will there ever be a fifth appearance? Maybe not as Donald is estimated to be worth $3,000,000,000.
Another well know presenter who has spent time in the red is the entertainment chat show host Larry King. Back towards the start of his career, it seemed the fast cars and extravagant spending was all too much for poor Larry’s bank account to handle. He amassed tons of debt and filling for bankruptcy was the only escape. The king is now said to be worth around $150 million dollars so this is a perfect example of bouncing back!
It’s not just celebrities who can”t manage their bank balances. The 16th president of the USA, Abraham Lincoln filled for bankruptcy twice. He had a business spirit about him and borrowed money from friends and family to invest in his endeavours. This took around 17 years to eventually pay back. Lincoln was not the only president to head to the courts, his successors, The 18th President, Ulysses S. Grant, and the 25th President, William McKinley, both made similar mistakes with getting into debt.
Singers have also had their fare share of misfortune. The late Michael Jackson. There were plenty of times when the King of pop’s fortune was reported to be in trouble. People often question how after his net worth was so high but does anyone remember that TV documentary which saw him quite easily spend millions in a single shopping trip? Everyday Loans shares some old cautionary tales on their site by blogging about how, some people aren’t wise when it comes to spending their money and Michael nearly lost his famous Neverland Ranch after defaulting on a loan from the Fortress Investment Group.
Another famous case was that of one hit wonder, MC Hammer. After the success of his song you can’t touch this MC Hammer’s career was said to be unstoppable, he was coined as being the next big thing and people predicted so much for him. MC Hammer must have also assumed the same and he quickly spent his earnings from his hit song and like most people, assumed more cash would be on its way. Unfortunately, that second hit never came, so Hammer never got paid and couldn’t afford to pay off his debts. In 1996 he had debts of more than $10 million.
So it would seem even a number one hit can’t save you. Just take a look at chart topper Marvin Gaye. He reached the top spot with Got To Give It Up despite the fact his album, live at the London Palladiumalbum becoming one of the top ten best-selling albums of the year, the soul superstar, had to file for bankruptcy and the opted to move to Hawaii (nice) to live in a bread van (not so nice!).
Even if you have spent most of your life living without millions, once you get it, without the right advice, spending it wisely can help you lose it almost overnight. Lottery winner William 釘udPost won a whopping $16,2 million jackpot and despite what he may have planned on buying with it, it brought him nothing but despair. After only eight years since his big win, Post had to declare himself bankrupt thanks to his extravagant spending on cars, houses and even an aeroplane. He passed away broke and sad.This just goes to show that even all the money in the world can’t guarantee you happiness.