Weathering tough economic times is a big burden for Georgia business owners. You do the best you can to keep your business afloat during difficult periods, including paying your employees and keeping up with debt. Unfortunately, there are some things that are simply out of your control. When faced with immense debt and an uncertain way forward, Chapter 11 bankruptcy can provide essential relief.
Chapter 11 bankruptcy is a process that will let you restructure or even reduce how much debt your business owes. You will have to restructure your financial obligations as part of the bankruptcy process. This includes creating modified payment terms and reduced payments. That information will then go into your repayment plan, which you will present to the court for approval.
You could also choose to sell off some of your business’ assets to satisfy creditors and fund the reorganization plan. Liquidating certain desired assets can also be effective at reducing debts. Since most people tend to have a static view of bankruptcy, you might be surprised that Chapter 11 bankruptcy is fairly flexible. Filing also grants temporary protection from creditors who are trying to collect.
Another common concern is that filing for bankruptcy means shutting down. In reality, successfully navigating Chapter 11 bankruptcy can help your Georgia based business thrive. You can learn more about the benefits of Chapter 11, filing requirements and repayment options right here on our website.