Chapter 11 Bankruptcy and Debt Reorganization
Just because a business becomes insolvent, doesn’t mean that it can never recover. Given adequate debt relief, proper reorganization, and sufficient time, many Missouri companies are able to reverse the tide and become profitable. For sole proprietorships, partnerships, corporations and other business entities, Chapter 11 Bankruptcy (also called business bankruptcy) allows them to reorganize their debt without giving up the possession of their assets and property. At the law office of James B. Day, our Chesterfield bankruptcy lawyers assist business clients of all sizes file for Chapter 11 Bankruptcy protection while they make good-faith efforts to repair their financial standing and remain in business.
Dedicated to Protecting the Present and Building the Future
The Missouri Chapter 11 bankruptcy lawyers at our firm help our business clients create and negotiate custom debt reorganization plan to effectively support their company’s future financial and business goals. To discuss your options with an experienced St. Louis business attorney, contact attorney James B. Day to discuss your firm’s financial and debt restructuring needs.
The Chapter 11 Business Reorganization Plan
When our clients file for bankruptcy under Chapter 11, their businesses have the exclusive right to initially submit their plan to repay creditor debt over a specific period of time. The plan details of the company’s financial picture, and the payment schedule and amounts are negotiated in bankruptcy court with the affected creditors. A repayment plan may be managed and enforced by the business itself or by a court-appointed trustee. The bankruptcy attorneys at the Chesterfield, Missouri law office of James B. Day can help your business customize a plan that will be acceptable to you, your creditors, and the bankruptcy courts.
Advantages of Filing Chapter 11
Chapter 11 offers many businesses an ideal option for straightening out their financial circumstances:
- Continued operation of the business
- Owners maintain control of the business
- Current management may remain in place
- Vital creditor relationships can are preserved
Priority and secured claims are paid in full and unsecured claims paid in amounts similar to those that would have been paid though asset liquidation under Chapter 7.
While Chapter 11 may work best for many businesses, unincorporated business clients may find greater benefits by filing under Chapter 13. Our experienced bankruptcy attorneys will help you determine the best option for your business, and we offer full commercial litigation support related to business bankruptcy matters.
For sophisticated legal advice and assistance, contact the Houston Chapter 11 business bankruptcy lawyer James B. Day. Call our St. Louis County law firm at 314-786-1218.
