An artist who started the Artisan Village in Moncton has filed for bankruptcy.

Shane Myers owes approximately $36,000 to creditors including Enterprise Greater Moncton, Royal Bank and three local artists, according to documents obtained by CBC News.

Myers told CBC his financial problems started when a potter refused to pay his rent and the village's bills ran up.

Serge Martin, the potter, says he took Myers to court for seizing his equipment.

"Everything, my kiln, all my tools," said Martin.

Despite the unpaid rent, Martin is one of the creditors owed more than $5,000, according to the bankruptcy filings.

An artist from Fredericton, who had glassware on consignment is owed more than $1,000, while Royal Bank Visa is owed $6,000.

Under bankruptcy protection, Myers says he is allowed to keep the tools of his trade. That includes keeping the Artisan Village open, he said.

Any money made will be shared with creditors, he told CBC.

In 2012 Myers received a $50,000 grant from the New Brunswick government for the warehouse on Main Street, comprised of artists' studios, an art gallery, a boutique and a café.

Enterprise Greater Moncton gave the Artisan's Village a $20,000 start-up loan, according to spokesperson Frederic Gionet.

It was approved by a committee of 10 people from the business community.

"The nature of the beast is it's risky financing," said Gionet.

"There's always some that don't do well."

Gionet says despite the financial setback, he still believes it was worth investing in the village.

"I think it may revive under another form or fashion," he said.

"I think it's maybe a question of this particular one [not working] out, but I think the demand and the opportunity exists to develop something very similar to it.

"So I encourage those who have ideas to come and see us," said Gionet.