The Chapter 11 Bankruptcy process is often referred to as debt reorganization. This form of bankruptcy protection is available to small businesses, partnerships, corporations, and individuals interested in restructuring their debts. There are no limits on the amount of debt you can include in your chapter 11 bankruptcy reorganization plan, as may be the case with other types of bankruptcy.
Chapter 11 bankruptcy can also be used to liquidate business assets, and repay the creditors from the proceeds.
When filing a Chapter 11 bankruptcy petition, the debtor is usually allowed to retain possession of their assets, and to continue the day-to-day operation of their business under the bankruptcy court’s supervision.
Unlike other types of bankruptcy, the debtor is allowed to manage their business reorganization plan under chapter 11. Generally, a bankruptcy trustee is only appointed to cases where the debtor is less than honest and/or fails to properly manage their bankruptcy plan.
If your business is in financial trouble, contact Real World Law, PC today to schedule a bankruptcy consultation. Speak with Dr. Glenn A. Brown directly to discuss all options available to you.
Lets connect!