Bankruptcy is not just an option for individuals it can be used to help businesses deal with difficult financial times. Business bankruptcy has become all too common in light of the struggling economy. Opening a business is always a risk, but for some, this risk leads to financial crisis and business bankruptcy is the only option.
Businesses have two bankruptcy options. Which option is best depends on whether the business owner wants to shut down the business or keep the business running, but restructure debt to make things easier. Determining which option is best for your business can be extremely difficult, especially if you are not a bankruptcy expert.
Our experienced attorneys are ready to help you discuss your business’s financial issues and determine which path to take. It might be possible to keep your business up and running, but the decisions you make now can have a major effect on the future of your business.
Chapter 7: Chapter 7 bankruptcy shuts down your business. It is a straight-forward process that liquidates assets associated with the business and gives the proceeds to the business’s creditors. The benefit of chapter 7 bankruptcy is the ability to handle creditor’s claims in an orderly and efficient manner. There is no need for you, as the business owner, to spend a great deal of time and money dealing with each creditor individually
Chapter 11: Chapter 11 bankruptcy makes it possible to keep your business operating during difficult financial times. Thousands of businesses restructure their debts under chapter 11 every year. Many of those businesses end up stronger and more successful because of the process. The process is more expensive than chapter 7 and it requires more effort, but if you want to keep your business running, it might be the best option to help you get back on track.
Business bankruptcy is a challenging process that requires the assistance of a legal expert. There is no reason why you should go through the bankruptcy process alone. Your business deserves the expertise of an experienced bankruptcy attorney.
If your business is struggling and you care considering business bankruptcy, contact the Law Office of Brian R. Lewis. We can help you determine which option is right for you, protect your personal interests, and ensure your business gets back on track, if that is the path you choose.