In order to effectively determine what the appropriate bankruptcy avenue should be for a given individual or entity, multiple steps should be considered. Where did the debt come from? The first question is to determine what caused the individual or corporation to accumulate the amount of debt owed. For example, an entity may have a …Read more
In the case of the bankruptcy of my business and the payment of creditors, is it better to liquidate the assets or default on creditor lawsuits? If given the choice, it is preferable to liquidate the assets yourself if you maintain control of them. Often, debtors may ask the bank to liquidate the assets which …Read more
The main difference between Chapter 11 and Chapter 13 is that a Chapter 13 bankruptcy requires that the debtor pay his or her debts within five years. On the other hand, Chapter 11 allows the filer to extend the five-year period unlike Chapter 13. Another difference is how much the Debtor has to pay creditors. …Read more
There are several types of bankruptcies available to businesses (and individuals) depending on the circumstances and goals of the company’s owners. Chapter 13 Bankruptcies One of the most common types of bankruptcy is Chapter 13. Chapter 13 applies to individuals and sole proprietorships and is generally designed to adjust debt for individuals who also have …Read more
All technology companies and their investors start with great enthusiasm. Why else would you start a tech company? But in the life cycle of some companies, the enthusiasm – and the money – disappears before the company has achieved its goals and positioned itself for an attractive sale or IPO. In these instances, as the …Read more
In the face of insurmountable debt you have made the decision to declare bankruptcy. It should be a knockout blow. But, fully comprehending the mistakes made in managing debt, you have decided to get up again and pull your company through the crisis. Make certain you have in your corner, a lawyer seasoned in bankruptcy …Read more
Let one truth drive your search for legal counsel in your company’s bankruptcy: the more complex the case the more crucial the need for an attorney steeped in bankruptcy law. Let’s call that rule #1 – hire an attorney with a proven track record in bankruptcy law. Rule #2? read Rule #1. It may be …Read more
“I must file bankruptcy for my business.” That is not likely a part of your business plan but, if conditions bring you to that point, you must formulate a cohesive plan to manage safe passage through the bankruptcy minefield. Rule number one: If you are filing bankruptcy for a business entity you must use an …Read more
You have been pulled into the quagmire of someone else’s bankruptcy. Your priority is to recover what you can, working within the legal framework of the bankruptcy process. The process is designed to be fair to creditors. Use it fully and carefully to recapture what you can. Along the way you will encounter obstacles. One …Read more
You just received notice that your customer who owes you money has filed bankruptcy. What should you do? Read the notice you receive from the court. Among other things, that notice will give you the deadline for filing a claim in the bankruptcy case. In a Chapter 7, 12 or 13 case, in order to receive …Read more