Sort of. The assets of the existing business will be liquidated. The business itself will have no assets with which to continue operating. The owners of the business could choose to invest new money into the company, or more likely, just create a new entity and start over. You might be tempted to use the same name, but that's probably a bad idea. Using the same name as the bankrupt business may serve to confuse, that is, to "tag" the new business, adversely affecting the new business (e.g., by having it unfairly listed in credit reports).

(Reviewed 11.10.08)