If you have filed for bankruptcy before because of your lack of money, don’t feel bad; even some multi-millionaires have filed for bankruptcy at least once. But there is one who filed for bankruptcy not once, not two or three, but four times. Who? The most famous businessman in the world, who even attempted to run for president for the United States: The star of ‘The Apprentice’, Donald Trump.
The chairman and CEO of The Trump Organization, Trump Entertainment Resorts, and the reality show The Apprentice has filed for Chapter 11 bankruptcy on four different occasions: In 1992, 1994, 2004, and 2009. Does this mean that he is a horrible businessman? No, according to Trump.
Trump argues that bankruptcy can actually be a good business strategy, if needed. In an interview he declares that the businesses he had to file for bankruptcy were able to turn around and eventually became profitable. In his own standards, bankruptcy is something he had to resort to in order to manage debt; he simply used the law “Chapter 11” to negotiate corporate debt deals. He also named other great businessmen who filed for bankruptcy: Carl Icahn and Henry Kravis.
This is not the reason he decided not to run for president, just in case you started to assume. He said if he were to run for president, he would be proud to disclose the successful financials of his company. It is admirable how a person could overcome four corporate bankruptcy and ended up being successful. This takes skills, perseverance, stubbornness, and intelligence.
Here is the complete interview from the Wall Street Journal: