If you are a small business owner in financial trouble, our Chapter 11 bankruptcy attorney in Plano can help you assess your options and properly represent you throughout the filing process. If a Chapter 11 bankruptcy is right for you, you can stay in control of your business and keep serving your customers while paying down your debts under a court-supervised plan. Chapter 11 bankruptcy cases are known to be complex, which is why it is important to work with a trusted lawyer. With extensive knowledge and experience in bankruptcy cases, we are confident in our ability to guide you smoothly from start to finish. If your business is in or around the Plano, TX area, get in touch with our firm today to discuss your case for free.
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Chapter 11 bankruptcies are a great way to get your small business back on track. Yet, they are historically complex and costly. However, Subchapter V and Small Business Reorganization Act bankruptcies, recent additions to the Bankruptcy Code, allow small businesses a bankruptcy re-organization option that is less complex and less costly than traditional Chapter 11 bankruptcies. This act strives to provide a balance between Chapter 7 and Chapter 11 bankruptcies for small business debtors.
Under the SBRA and Subchapter V, certain debtors may retain control over business operations during the reorganization. However, they will no longer be required to follow the more costly steps of Chapter 11. The SBRA’s and Subchapter V Amendments work to streamline the plan confirmation process and ultimately lower costs. They allow businesses to return to full business operations and leave the distractions of bankruptcy behind them quickly and more easily. These options provide small businesses have new resources to survive bankruptcy and regain control of operations.
You may be eligible for a Small Business Reorganization Act bankruptcy if:
- You run a business or commercial establishment.
- Your total secured and unsecured debts do not exceed $2,725,625.
- At least 50% of those debts arose as business expenses.
You may be eligible for a Subchapter V Amendment under the same standards if your debt limit does not exceed $7,500,000. This is a temporary limit for Covid, so contact our lawyer today to see if a Subchapter V amendment is right for you.
SBRA and Subchapter V Amendments have different deadlines from more familiar Chapter 11 bankruptcies. SBRA bankruptcies especially also give more control to the court-appointed trustee over the company’s operations during the plan’s duration. However, under the right circumstances, this may be the best option for your company. Consider filing an SBRA or Subchapter V amendment bankruptcy today.
During your free initial consultation, we will walk you through the process and educate you on your rights. Our goal is to make the process as smooth as possible. With over 25 years of experience in the field of bankruptcy law, LoBue Law, PLLC can help your small business bounce back.
Want to learn more about SBRA and the bankruptcy process? Get in touch with Plano Chapter 11 bankruptcy lawyer Vinny today to schedule a free consultation.