With today's economy, we understand the frustrations and hardships of small businesses across Oklahoma. Fortunately, small businesses are also afforded the right to file bankruptcy. Small businesses can file for Chapter 7, Chapter 13, or Chapter 11 bankruptcy protection. Debt Solutions can help analyze which type of bankruptcy will best protect your business from creditors. It is essential to figure out whether the business should be reorganized (Chapter 13 or 11) or liquidated (Chapter 11).
Small businesses can file for Chapter 7 bankruptcy protection at any time. However, unlike cases involving individuals, the business must be closed once its assets are liquidated because it will not receive a discharge of unpaid debt. If the business remains open, it will continue to liable for any unpaid debt.
Small businesses can also file Chapter 13 bankruptcy protection if the business or owned by an individual or a husband and wife. There are certain exceptions to this rule, so please contact us to see whether your business is eligible for Chapter 13 protection. Similar to Chapter 13 cases involving individuals, once the debt repayment plan is completed, the business will be afforded a fresh start.
Please call us for a free consultation to determine the best course of action for your business.