Debt Relief For Business
Businesses have to take risks to grow. When things go well, these risks pay off with increased profits. When they don’t go well, a business ends up in debt and has a hard time getting out of it.
If your business is struggling with debt and you can’t see a way out, a skilled attorney with experience in debt relief can help.
Richard L. Hirsh, P.C., represents small and medium-sized businesses, helping them get their debt under control. The Lisle, Illinois, firm has represented residential landlords, commercial landlords, sole proprietorships, partnerships, closely held corporations and other types of businesses in a variety of matters, helping them get out from under crushing debt.
The most effective debt relief tool for many businesses is Chapter 11 bankruptcy.
Chapter 7 For Business
Chapter 7 of the U.S. Bankruptcy Code provides debt relief and protection from creditors for business entities and partnerships, corporations and even qualified individuals engaged in businesses. Chapter 7 is known as liquidation bankruptcy because it requires selling assets to satisfy creditors. (However, in consumer bankruptcy cases filed by individuals, there is seldom a need for a liquidation.) Although business entities do not get a discharge, Chapter 7 usually results in the termination of collection efforts by creditors.
Because of the liquidation requirement, business entities typically use Chapter 7 bankruptcy when they are planning to wind down operations. The process ordinarily takes just a few months.
Chapter 11 For Business
Chapter 11 gives businesses a chance to restructure their operations and their debt so that they can get a fresh start. Once a business has filed for Chapter 11, the court issues an automatic stay, prohibiting creditors from enforcement actions against the company.
The automatic stay gives the business time to regroup and focus on its core strengths. When the company emerges from Chapter 11 bankruptcy protection, it will be in a stronger position to return to profitability. The process, if successful, allows a cure of debts over several years.
Learn About Your Options
If your business is struggling with debt, it can be crucial to discuss your options with a lawyer who is experienced in debt relief, including business bankruptcy. Get started by calling Richard L. Hirsh, P.C., today at 630-796-0088. You can also contact the law firm by email.
Richard L. Hirsh, P.C., represents individuals and businesses in Northern Illinois including Cook, Dupage, Will, and Kane Counties and the surrounding area.
Richard L. Hirsh, P.C., is a debt relief agency. The firm helps people and businesses file for debt relief under the U.S. Bankruptcy Code.