Chapter 11 is defined as being a chapter in the United
States Bankruptcy Code. Reorganization is permitted under U.S. bankruptcy
laws by this chapter. It is available to any business, both corporate
or sole proprietorships. It also is available to individuals with
unsecured debts of at least $336,900 or secured debts of at least
$1,010,650. Most often than not, Chapter 11 is used by
corporate businesses. Several things can lead to a business filing
for Chapter 11. Funds can be mismanaged, an owner can fall
ill, or people can simply stop buying the product the business is
selling. All of these and more can cause a business to fall behind
on its financial obligation, thus forcing them to seek a Chapter
11 filing.
While filing for Chapter 11 cans allow a business to stay
in operation, a court will supervise the reorganization of debts.
This means a court-appointed trustees is assigned to look after
the business’ affairs. If the company’s debts are in excess of its
assets, then the owner can end up with nothing at the end of filing
for Chapter 11. All of their rights and interest are then
terminated and the creditors are the ones who end up with the business.
In addition, new laws, extra paperwork and legal fees can add to
the woes. This can be a sad and dishearten situation for any business
that is facing a situation where they have to file for Chapter
11.
American Finasco, Inc has the answers for a business owner considering
filing for Chapter 11. They have a Debt Resolution Plan
that can help businesses avoid bankruptcy proceedings and can even help avoid bankruptcy altogether. It does not matter if a business
is considering a business bankruptcy, a
corporate bankruptcy or
a small business bankruptcy, American Finasco, Inc. can help. They
also offer a business debt restructuring program that can take stock
of a business’ debts, pay the creditors and keep the business going.
They can help with business loans, which place all debts in one
with a single monthly payment. With American Finasco, Inc. there
are other options other than filing for Chapter 11.
If a business decides to file for Chapter 11, they can face 10 years
of bad credit, making it nearly impossible for them to start again.
Also, the headaches of having a trustee handle its affairs can cause
even more problems than it solves. Filing for Chapter 11
can also mean making trips to the courthouse, which can
translate into legal fees in addition to the debt owed. American
Finasco, Inc. can help a business
avoid bankruptcy altogether.
American Finasco, Inc’s plan can help businesses take back what
they once fought so hard to make happen. The negativity associated
with Chapter 11 can be reduced, or even eliminated, by
working with American Finasco, Inc. Business owners should know
that there is hope for them if they have to file for Chapter
11 bankruptcy. American Finasco, Inc. is the perfect alternative
to filing for Chapter 11.
Your Business Can Avoid Chapter 11
[Posted on July 21]
While many businesses succeed, the vast majority at some time experience some difficulty including taking on large amounts of debt. If you are a company that has been experiencing tough times and has a large amount of debt that is increasingly becoming difficult to handle chapter 11 is usually seen by many as a legal safe haven. Unfortunately, for many businesses chapter 11 is not really a safe haven, but can be a huge distraction to many businesses that are committed and still have resources to achieve. If you are a business that wants to succeed, American Finasco can help you avoid chapter 11.
The Downsides of Chapter 11
While chapter 11 is revered as a legal safe haven for many, it should be noted that entering your business into chapter 11 can make it overall more difficult to succeed in the long run. If you believe your business has a fighting chance, it is always better to forego chapter 11. With the recent bankruptcy changes in 2005, going chapter 11 has made the bankruptcy process much more intense. For starters, new laws give the court more leeway in asking for a wide variety of information and even taking over your business to pay off creditors. For businesses that have substantial debt due to personal spending, individuals may be forced to go personally bankrupt. And filing fees and lawyer fees can add up quickly making some business owners thinking twice whether it would have been smarter to negotiate and pay off creditors rather than legal fees.
American Finasco Can Help Those Thinking About Chapter 11
For those contemplating chapter 11, American Finasco can help. We have over 20 years of experience and have helped thousands upon thousands of clients avoid chapter 11, negotiate and pay off their debts and once again become profitable. Throughout our years, we have seen practically every type of issue and we are sure your issues are not that much different. With our expertise, you can avoid chapter 11 and once again climb out of debt to become profitable. American Finasco offers a wealth of tools and resources that includes debt restructuring, debt consolidation, business loans and many other ways to help you avoid chapter 11.
For more information on how your business can avoid chapter 11, climb out of debt and once again become successful, please visit our homepage or contact us directly today for a consultation.
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Chapter 11 Can Be Avoided with the Help of American Finasco |
