Bankruptcy should be your absolute last resort so put that on the bottom of the pile.
As a business owner, you have options that can help out. First, try calling up all of your creditors and negotiate a payment plan. They really would prefer to get their money over a longer period of time than not at all. Also, if you can afford it, go over your books and see where you can cut cost and maybe sell off some equipment that you don’t really need. Maybe consider changing your marketing strategy to get more clients.This might mean that you have to add a partner or employee.
If you have a home, you may consider getting a home equity loan to help out on some of the bills and you may be able to refinance your truck payments as well. Also, check out some trucking associations, many have financial counseling and free advice. Good luck.

Unless you are incorporated your personal and business credit will suffer.
A better solution is to quit paying your credit cards. and I mean nothing. Bankruptcy does not wipe away credit cards like it once did. plus personal bad credit stays with you 7 years bankruptcy last for 10 years. also if you should turn the corner and be able to pay off a card or so at a time you can contact the card holder and make arrangements to pay off the card if they will erase all negative marks against you on the account. .I know from personal experience they will do this , they want their money so you now hold the cards and it is your game . they play or they lose.

I started a cabinet business and it has taken a lot longer to get going than I thought it would. You are a very motivated person to do what you have done, I mean starting your own company. I personally know of a person who had a million dollars of medical debt, her insurance had capped it at that. She too was on the Verge of filing bankruptcy. She has been able to overcome that debt and is doing very well for herself and family. If you would like I might be able to help you out. my email: rcburbank@usana.com
my web site is: http://www.rcburbank.usana.com

I hope a lawyer answers this question! I thought one of the reasons to form a corporation is protection from personal credit damage in a situation like this?

The loan might be a good idea if the interest rate is lower and the monthly payments don’t go up. Good luck to you.

First of all, filing for bankruptcy costs anywhere from $10k to $100k (depending on the type of BK you file). Secondly, all of those “business” credit cards you used are personally guaranteed by you. If you see no chance in you making any more money in this business, how do you plan to get a loan? Loans for small businesses are personally guaranteed by the owners of the business. Your best bet is to talk to your accountant to see if selling your assets can offset some or all of your debt. You can also talk to an attorney to see if he can negotiate a deal with the credit card company (some companies/law firms specialize in this).

You need to talk to a financial planner at the bank and find a plan that can get you on top of all your payments so you can rebound from this.

Better study-up on the bankrupcty rules first before you decide to file for it. Perhaps this site can give you some information…

http://www.creditmanagementworld.com/bankruptcy/bankruptcy01.html