Even the most financially responsible small business owner may be forced to consider bankruptcy due to circumstances outside their control. If handled correctly, bankruptcy is an opportunity to start fresh, even in the aftermath of financial devastation. The options for a business bankruptcy include the ability to reorganize the business and restructure the debt. The issues that a business faces when in need of bankruptcy protection are very different then individual consumer.
As a business owner, you need to consult an attorney with experience handling the unique issues faced by businesses with financial problems and the need for bankruptcy protection and restructuring. If you are considering filing for bankruptcy for your business, but are struggling to find the answers you need, contact Judson Carusone for help.
Customized Solutions For Your Business
Any solution for your business should be tailored to your needs and the type of business. A business entity, such as an LLC or corporation, can take advantage of the various types of bankruptcy available under the code. But there is always a difference for the business. For example, a business with assets but no cash flow may need to be closed. The assets must be used to pay off or down the debt. That can require serious efforts and the business may have no funds to pay for it. In this case, the business could file a chapter 7 liquidation bankruptcy and turn over the work to an experienced bankruptcy trustee.
Alternatively, if the business has good cash flow but struggles to meet its debt payments, a chapter 13 case or a chapter 11 or 12 reorganization could be the answer. The owner stays in control of and operates the business under the Bankruptcy Court’s protection. The owner then proposes a plan to reorganize, which could include discharging some debt or simply adjusting the terms to make the debt more affordable to pay each month.
Here For You When You Need Help
In the initial consultation, he will consider your situation and answer your questions. He will explain how the bankruptcy process would automatically stop everyone who is trying to collect money from you, and ultimately will allow you to restructure your business to return to profitability.
But no matter what kind of business you have, you need the advice of an experienced business bankruptcy attorney. Judson M. Carusone has that experience.