Chapter 11 Bankruptcy Attorney in Miami
Is Your Business Overwhelmed by Debt?
As a business owner, you know that having debt isn’t always a problem
– it’s just a part of business. It can become overly burdensome,
however, if your company is experiencing financial hardship as a result
of a downturn in revenue or unplanned acquisition of debt. When your debt
liabilities become too unwieldy, you may begin to wonder if Chapter 11
bankruptcy can help you save your business.
If you need a legal guide to help you explore your options in business
bankruptcy, reach out to Wesoloski Carlson, P.A. Our attorney has nearly
20 years of experience building Chapter 11 debt repayment plans for clients
and their businesses. You don’t have to give up everything you’ve
worked hard to build if you’re dealing with unforeseen problems
with your company’s debt. Get help from an experienced Chapter 11
bankruptcy attorney in Miami by reaching out to Wesoloski Carlson, P.A. today.
(800) 449-4850 or complete our
online contact form to request a free initial consultation. We offer this complimentary meeting
by phone or video conference for your safety and convenience.
What Is a Chapter 11 Debt Repayment Plan?
Chapter 11 bankruptcies are generally the most complicated types of bankruptcy
cases. While exploring alternative options first is generally advisable,
sometimes it makes the most sense to pursue this form of bankruptcy.
Some key benefits of Chapter 11 bankruptcy include the following:
Chapter 7, liquidation is not a requirement (unless a creditor demands it in your plan)
- Business owners often maintain control over their companies (known as debtor-in-possession)
Chapter 11 bankruptcies can
stop foreclosure proceedings
Chapter 11 has no specific qualification requirement for how much debt you can
or must owe
- Chapter 11 bankruptcies can be quicker under Subchapter V if the debtor
owes less than $2.75 million
Central to any Chapter 11 case is a repayment plan – sometimes also
referred to as a reorganization or restructuring plan. All three descriptors
fit because the plan will involve monthly repayment plans based upon a
reorganization of your debt, and a reorganization of your company and
business affairs may be necessary to satisfy your creditors.
It’s important to note that a Chapter 11 repayment plan must have
the approval of your creditors. You may propose a plan, but they can amend
it and must ultimately approve it. This is because your plan asks them
to modify due dates, interest rates, and other terms that will determine
how you repay them going forward. While Chapter 11 is known for avoiding
liquidation, sometimes downsizing and liquidating certain assets may be
necessary to appease creditors.
In most cases, debt is discharged as soon as the debtor and creditors agree
on a plan. This is not always the case, however, and some plans must be
carried out in full before the debt is discharged.