Contact an attorney in this area
Forest Lake, MN
1650 11th Avenue SW Suite 203
Forest Lake, MN 55025
Company Debts & Liabilities
It’s no surprise that many companies encounter serious debt issues. Companies take daily risks, markets are ever-changing, and sometimes unexpected problems arise.
CEOs and business owners may feel like the room is closing in around them:
- banks freeze the company’s line of credit,
- creditors intensify their collection efforts,
- lawsuits are commenced, or
- garnishments, levies, and foreclosures occur.
Turnaround experts and attorneys experienced in complex business problems provide an unemotional, logical perspective to identify a path through the chaos. A variety of legal tools are available to hold off creditors while the company gets back on track.
Business turnarounds turnaround experts helping the business get back on its feet, salvaging the value in the company, and making tough decisions to return health to the business. This often involves meeting with creditors to explain a turnaround strategy and repayment plan.
Basics of Business Owner Bankruptcy
The purpose of bankruptcy court is not to punish the debtor, but rather to release the debtor of liability.
Federal court has jurisdiction over bankruptcy cases, and debtors rarely appear in court. However, debtors are required, under rule 341, to attend a meeting between debtors and creditors in order to evaluate the debtor’s assets. This is often referred to as a 341 meeting.
Companies filing bankruptcy generally use Chapter 11 to seek time to reorganize.
For business owners (as individuals), there are three basic types of Bankruptcy as defined by the chapters of the Bankruptcy code. Chapter 7 Bankruptcy deals with the liquidation of one’s assets in order to distribute payment to creditors. Chapter 11 concerns businesses that must reorganize in order to continue operating while paying off its creditors. Chapter 13 Bankruptcy is where an individual must adjust their debts in order to keep their assets while still paying off creditors over time. These chapters also provide many different methods for paying off your debts so you can move one with your life.
Business Owner Bankruptcy Services
Here is a list of bankruptcy services and issues that can be resolved during the bankruptcy process:
- Alimony and child support
- Alternatives to bankruptcy
- Assets and exemption
- Automatic stay
- Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (BAPCPA)
- Completing the bankruptcy petition
- Compliance requirements for small businesses
- Credit card debt
- Creditors rights
- Debt discharge
- Debt restructuring
- Debtors rights
- E-discovery and computer forensics in bankruptcy cases
- Interest rate disputes
- Internal Revenue Service (IRS) tax debts
- Litigation in the bankruptcy court
- Mandatory credit counseling and debtor education
- Means test
- Mental health and addiction issues
- Predatory lending
- Predatory lending claims and bankruptcy
- Preparing and attending the 341 meeting of creditors
- Reaffirmation agreements
- Real estate bankruptcies
- Representing trade creditors
- Schedules A,B,C,D, & F
- Second lien lending
- Statement of affairs: discharge and dischargeability
- Taxes during bankruptcy
Bankruptcy Lawyer Credentials
An experienced bankruptcy attorney can provide clients with representation in the following areas:
- Personal bankruptcy
- Business owner bankruptcy
- Business bankruptcy
- Chapter 7 bankruptcy
- Chapter 11 bankruptcy
- Chapter 13 bankruptcy
- Pre-bankruptcy workouts with creditors (debt negotiation)