Chapter 11 Bankruptcy

Put the Brakes On Creditor Harassment With a Chapter 11 Bankruptcy Filing
Let’ be frank. Your creditors would not annoy you if your business was generating the cash flow you need to pay your bills. No business can long survive without good cash flow. But, a Chapter 11 bankruptcy filing can protect you from creditor harassment while getting you needed time to protect your assets, restructure your business finances and your debts.

Here’s What A Chapter 11 Bankruptcy Filing Can Do For You

  • Put an immediate halt to creditor collection efforts.
  • Stop all pending foreclosure actions.
  • Prevent utility companies from unplugging your business.
  • Workout a creditor debt repayment plan.

What a Chapter 11 Bankruptcy Filing Can’t Do

  • Provide the management skills required to navigate a business through the protracted Chapter 11 process into eventual prosperity.
  • Increase market demand for what you sell.
  • Increase the revenue your business generates.

Although a Chapter 11 filing is not the cure-all solution for operating a profitable business, it will give you time to determine the reasons why your business is not profitable, time to develop a game plan to make the business profitable and time to find new sources of capital.

How Chapter 11 Works

Chapter 11 gives business owners the chance to propose a reorganization plan to their creditors, which would include restructuring outstanding debts. In effect, the Plan allows business owners to repay the company’s secured and unsecured debts over a period of time. Secured creditors’ claims are often “crammed-down” to the current value of the collateral, which can result in substantially lower payments. This is precisely why secured creditors commonly prefer intimidating businesses into forced liquidations over Chapter 11 filings – to protect the value of their collateral. Unsecured debts are often negotiated down to pennies on the dollar, which also results in lower payments.

Experienced Bankruptcy Legal Representation

A successful Chapter 11 filing generally works to the advantage of debtors over creditors. However, success depends on creditors’ willingness to work with businesses through the duration of the workout plan. That’s why you need experienced Chapter 11 bankruptcy legal representation with the creativity and skills to formulate workout strategies acceptable to unsympathetic creditors.

Our bankruptcy legal team has guided many businesses through the Chapter 11 filing. If your business is being hounded by creditors threatening foreclosures, lawsuits, liens and repossessions, we urge you to contact us immediately for a consultation.

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Meet Attorney Andy Oostdyk

Andy is originally from Wisconsin, growing up in the Madison area and went to Law School in Dallas at Southern Methodist University’s Dedman School of Law. After earning his J.D. Andy enjoys spending time with his wife and 3 boys, helping coach his sons’ soccer and baseball teams, and is an active member of the Knights of Columbus, Council 799.

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