If you are considering your options when your business starts to fail, it may be time to contact a Chicago business bankruptcy attorney. No one likes to think of a time when their business could be in financial trouble, but it does happen even to the best run businesses. In tough economic times, more businesses are facing financial difficulties than ever before. There are some things to consider about business bankruptcy before making a final decision.
Financial troubles can be stressful, so you shouldn’t have to face this decision alone. Unless you are an attorney, you probably do not know all the legal terminology and will need help in deciding on what you should do. Your best option is to consult with an experienced bankruptcy attorney.
One thing a Chicago business bankruptcy attorney will discuss with you during a consultation is the entity type of your business. There are different unique circumstances and considerations for each entity type; corporations, partnerships, sole ownership or limited liability companies. Chapter 7, 11, and 13 bankruptcies have different consequences and outcomes for each type of business entity.
Another consideration is whether you will be re-organizing the business or whether you are liquidating the business assets. Should you re-organize? This depends on whether you have a viable business that can once again become profitable under the right circumstances. If you do want to reorganize your business and continue operations, a bankruptcy filing could free you up from paying on old debt long enough to get your finances and operations in order.
While a Chapter 7 bankruptcy involves liquidation, Chapter 13 or Chapter 11 bankruptcy may give you some time to sell your business if that is what you want to do. The proceeds could then be used for such things as paying workers’ salaries or to provide jobs to workers if the business goes under new ownership.
When is business liquidation the best option? If your business has few assets or would require very little capital to restart, reorganization may not be your best option. You could be better liquidating the business and getting a fresh start. Sometimes, if your debt is too great, reorganization may not be an option since reorganization bankruptcies have specific requirements. These are all complicated considerations that you should discuss with a profession Chicago business bankruptcy attorney.
During your consultation, your attorney will explain to you all the considerations and consequences of each type of bankruptcy and help you make an informed decision. If your business is in financial trouble, there are still resources for you. Discuss your case with a Chicago business bankruptcy attorney to find out what your options are.
A Chicago business bankruptcy attorney will go over all your options to help you make the best financial decision for your business. If your business is struggling financially, there is a solution available. Chicago Debt Solutions has 5 convenient metro area locations to serve you. Julie Trepeck is a skilled attorney with extensive experience and legal knowledge of bankruptcy laws. She can assist clients in all stages of debt problems and help them find a solution. For more information or to schedule your free debt solution consultation, you may visit the website http://www.chicagodebtsolutions.com/ or call 312.445.9106.