Unexpected events can happen in life that affects your business’ health. These situations are sometimes inevitable and are made worse when we make poor decisions. In business, when you are no longer able to pay your debts even with the income your enterprise makes, it may actually be better for you to
file for bankruptcy if you would be incurring further losses from not giving up. Filing for bankruptcy, no matter how negative it seems to be, may relieve you of future financial stress.
There are different types of bankruptcy.
Chapter 7 Bankruptcy is liquidating your assets to pay your creditors while Chapter 13 Bankruptcy, on the other hand, gives you additional time to reorganize your debts and repay the creditors. The best part of Chapter 13 is that it lets you keep your properties. Although there is this good side to it, it may not work well for others who cannot commit to a long-term payment plan. You might as well let your creditors liquidate your assets instead. However, if the value of your assets does not compensate for your debts, your creditors will have to opt for Chapter 13.
Have you found yourself closing your business and filing for bankruptcy, or just on the verge of doing so? You may need a bankruptcy attorney for this because this is not an easy process.
What are bankruptcy attorneys?
Bankruptcy attorneys specialize in legal counsel and services needed in situations of financial troubles.
What do bankruptcy attorneys do?
1. They help you evaluate your current overall and financial situation.
You will need to provide them all the information they need in analyzing the matter at hand so the technical aspects that you may have overlooked or may not have knowledge about, your attorney would be able to enlighten you with.
2. They give advice on what type of bankruptcy is best for you to file.
With different types of bankruptcy existing, your bankruptcy attorney will be able to recommend what type would be appropriate for your personal and financial condition.
3. They will be the ones to file your case in the bankruptcy court in your area.
Bankruptcy attorneys are one of the most crucial must-haves in filing for bankruptcy. It is actually the first step — hiring an attorney. With all the documents and information you have provided them, they will be the ones to accomplish the task of filing your bankruptcy case.
4. They work with you hand-in-hand in creating a desirable financial plan and in negotiating with your creditors.
In proceeding with your case, you will have to present a financial plan to the court that your creditor must find appropriate for your financial obligation. It must be something you can commit to. Your bankruptcy attorney will help you prepare all these documents.
Why should you hire a Bankruptcy Attorney?
You may think the legal process of a bankruptcy filing would be simple, but your bankruptcy attorney has the capability to foresee any conflict or dilemma that would arise in your case, and would already have a strategy to secure you from it. Your Chapter
13 Bankruptcy attorney will have your back all throughout the journey.
