BANKRUPTCY LAW: SMALL BUSINESS BANKRUPTCY
Small Business Bankruptcy: Debt Solutions for a Troubled Business
With our extensive experience in small business bankruptcy, we have helped companies keep the doors open through Chapter 11 reorganization, and have helped business owners discharge their losses through Chapter 7 liquidation.
Either path is a hard decision, and must be based on a realistic assessment of the numbers. We’re here to help you find the best solution for your small business. We advise LLCs, corporations, partnerships and sole proprietor businesses throughout Alexandria, Arlington County, Fairfax County, Loudoun County, Prince William County and Northern Virginia.
Chapter 11 Reorganization
Chapter 11 bankruptcy is available to high-income individuals carrying a lot of debt, but is primarily intended to allow an ongoing business restructure its debts. Successful reorganization is dependent on obtaining the acceptance of creditors and approval by the court for the reorganization plan.
A Chapter 11 bankruptcy is expensive and complicated. We will run the numbers to help you determine if Chapter 11 is feasible for your small business.
Chapter 7 Bankruptcy
For many small business owners, business debt is also personal debt. If you borrowed on credit cards to keep the business going or put your home up as collateral for business loans, you have to consider your personal exposure if the business fails.
If we determine that Chapter 11 reorganization is unlikely to succeed, it may be prudent to liquidate the business and file for individual Chapter 7 bankruptcy to protect your own assets from creditors. It may be possible to exempt tools of the trade or equipment that can be used to start a new business.
When you’re ready to call, we’re ready to help. Call us at 703-836-9030, or contact us here.