If you’re a business looking to enter into Chapter 11 bankruptcy, you need to know all the options before you proceed. Bankruptcy isn’t the cold, hard situation that it’s made out to be. With the right help, you can make the best of bankruptcy and may even make a profit by coming out of it with the right business plans.
With Chapter 11 bankruptcy, you’re able to continue running your business while you work with creditors and the U.S. courts to determine the best way to pay back debts. Some debts may be reduced or eliminated to help. Depending on how you’ve set up yourcorporate tax structure, you may be protected from personal liability for the debts as long as your business is under the protection of the court.
When you want to file for bankruptcy, you must meet certain debt to income ratio requirements. It is a complicated process that may take you a long time to sort through, which is why it’s best to speak with someone who understands the process already. Working with an attorney or lawyer makes it easier for you to understand how to file paperwork, the time lines for bankruptcy filing and what to do if creditors won’t stop harassing your business.
To learn more about what you can do if you’re thinking of filing bankruptcy, please browse our Chapter 11 webpage. You deserve the chance to reorganize your business to be successful again, and bankruptcy doesn’t mean you have to shut down for good. With some help, you can emerge from bankruptcy with a better business plan and a way out of debt.by