Small Business Bankruptcy

When a small business files for bankruptcy, it faces unique issues that are not involved in the typical consumer bankruptcy case. Many bankruptcy firms do not have the experience or knowledge to work through these complex issues effectively. At the Law Office of Colby J. Leonard, our Indianapolis small business bankruptcy lawyers have handled many corporate bankruptcies and are prepared to represent your struggling business.

Financial problems do not always indicate failure. Our law office will help you determine if it is possible to get out of debt and save your business. We offer a free initial consultation to explain the full range of debt relief options available to you.

Business Bankruptcy Options: Chapter 7 and Chapter 11

Companies can choose between liquidation through Chapter 7 bankruptcy or debt reorganization through Chapter 11 bankruptcy.

Chapter 11 bankruptcy is a promising option for corporations and large companies that would like to remain in business. During Chapter 11 bankruptcy, a business can reorganize its debt through negotiations with creditors. If successful, the business owner becomes a “debtor in possession” of the business and debt is paid by the business’ future earnings. While Chapter 11 may seem promising, it is a difficult option for most companies and small businesses in today’s market.

If reorganization is not an option for your business, you may be eligible for Chapter 7 bankruptcy. This option will remove much of your business’ debt and may protect you from personal liability. However, it also requires you to liquidate your business assets.

There Are Other Options

There are several options available to companies in financial distress besides reorganization through Chapter 11 bankruptcy or liquidation through Chapter 7 bankruptcy. For example, our small business debt relief attorneys may be able to help you negotiate a loan repayment plan with your creditors or reorganize outside of formal bankruptcy proceedings. To learn more, contact us.

Personal Bankruptcy and Business Ownership

If you are planning to file for personal bankruptcy and you own a company that will not be included in the bankruptcy filing, there are unique issues that we can help you address. Most importantly, you may risk losing your company. We will arrange a business valuation to ensure that your business is not an asset for personal bankruptcy. We will also help you determine whether you will have personal liability for any corporate debts.

Free Consultation With an Indiana Business Bankruptcy Lawyer

For more information about business bankruptcy and other debt relief options for your small business, call 317-894-0626 or fill out the contact form on this website to arrange a free initial consultation with attorney Colby J. Leonard. From our law offices in Indianapolis and Muncie, we represent businesses throughout Indiana.