You have some wiggle room if you either want to get out of your bankruptcy case or change to the other Chapter.
Finding the best way out of this seeming Catch-22 depends on a full understanding of your unique situation and your goals.
Filing bankruptcy with or without your spouse affects the discharge of debts you each receive, and also affects whether you file under Chapter 7 or 13.
Filing bankruptcy with or without your spouse affects the protection from creditors each of you receives, and also affects whether you file under Chapter 7 or 13.
Chapter 7 deals with some debts better than does Chapter 13. But Chapter 13 deals with some other debts better than Chapter 7. So what kind of debts do you have?
Chapter 7 often protects you from creditors well enough. But if need be, Chapter 13 protects you longer.
Question #1 for cleaning up financially after a failed business: can the business file a bankruptcy without you? Question #2: should it?
It sure helps in understanding the two main bankruptcy options if you know the cast of characters in each one.
In deciding between Chapter 7 and 13, get this question out of the way right away: "Can I keep everything I own if I file a Chapter 7 case?"
Chapter 13 costs much more than Chapter 7, takes about 10 times as long, so you do a Chapter 7 if possible, right?
Too much debt can disqualify you from filing under Chapter 13.
If you don't qualify for either Chapter 7 or 13, do you have to do a very expensive Chapter 11 reorganization? Or could you still qualify after all?
"Straight" Chapter 7 bankruptcy can give some relief for dealing with your back and current income taxes, but Chapter 13 can help so much more.
If you need bankruptcy protection but already filed a bankruptcy case within the last few years, you may still be able to file a new one now.
If you're behind on child or spousal support, the support enforcement agency can be extremely aggressive. Chapter 7 doesn't help much. Chapter 13 CAN.