Bankruptcy - Chapter 11 Subchapter V

Eligibility: Individuals and Business Entities

Chapter 11 Subchapter V is, similarly to Chapter 11 Bankruptcy, a reorganization, not a liquidation.
Effective February 19, 2020, a new Chapter 11 Subchapter V Bankruptcy was enacted. This new chapter is part of the Small Business Reorganization Act (SBRA).

SBRA:

Enables small business the ability to file bankruptcy and keep operating.
Avoids small businesses from closing down.
Provides an option to individuals who were previously not able to file Chapter 13 BK due to debt limitations.
Provides a significantly less expensive bankruptcy option with a streamlined legal process and timeline.
Eliminates Quarterly fees to the Trustee’s Office.
Reduces the reporting requirements for a regular Chapter 11 when filing Chapter 11 Subchapter V.
Enables small businesses to have a viable means to reorganize and continue to operate.

Why file Chapter 11 Subchapter V?

The same advantages of filing Chapter 11 exist for Subchapter V.

Misconceptions about filing Ch. 11 Subchapter V are the same misconceptions about filing Chapter 11.

If you are a single-asset real estate business entity, you cannot file under Subchapter V. However, you can evaluate your situation with me to determine if filing a regular Chapter 11 Bankruptcy is an option for you. If you and/or your business are struggling financially, it is best to meet with me. I will review your situation in depth.

I will advise you if you could benefit from Bankruptcy or another.

Call or text me at (201) 446-5904 to schedule a Free Consultation with Ralph A. Ferro, Jr., Esq.

Bankruptcy Help is available for you. I care about your success. Please read my client’s reviews.

Ralph A. Ferro, Jr., Esq. Bankruptcy Lawyer

Board Certified in Consumer Bankruptcy Law

Misconceptions about filing Chapter 11 Bankruptcy that are false:

The business is shutting down/closing
Your vendors and suppliers will run – Most will opt to stick it around and to work with you.
Customers will not want to enter into contracts with you when you file bankruptcy.
There is no hope to become profitable and sustain.

In summary, when you/your business is experiencing financial difficulties in staying afloat, it is best to meet with me. Many times, clients come in thinking they should file one type of bankruptcy when another is best for them. I am here to match your goals to the appropriate strategies to become more profitable.

Why file Ch. 11 Bankruptcy?

You have a great business and do not want to close down.
Just going through a tough financial period and you can get through this period with a deeper look into the operations and debts of your business.
Need time to refinance or streamline your business/sell some assets or unprofitable
parts of your business.
During the process, you can reject contracts and leases that no longer fit your needs or have reached a point that these contracts make no sense financially.
Need bankruptcy protection so that your creditors do not seize bank accounts, continue with lawsuits or repossess assets, such as equipment or vehicles.
Desire to continue to earn money while keeping your customers and your employees.
Committed to fulfill contracts and obtain new contracts.
Develop a Plan to spread out your debts over a period of time with an affordable Plan.
There could have been one project wherein your company lost money or entered into a bad contract which cost your company money or profits. Your future looks profitable but for that one project or bad decision.
In summary, you do not want to shut down.

Call me now for an in-depth a Free Bankruptcy Consultation: Ralph A. Ferro Jr., Esq. – (201) 446-5904 for Chapter 11 Bk Help.

Bankruptcy Options and Choosing the Best Bankruptcy Attorney are key:

Bankruptcy and your finances are critical for you now and in the future.
The most important decision you can make is finding the right bankruptcy attorney who meets your needs and is an attorney with expertise in bankruptcy law.
Ralph A. Ferro, Jr., Esq. Law Offices focuses 100% of our practice on bankruptcy law.
I always set up an in-person initial meeting. You are not rushed through this meeting. I evaluate your finances and other important information to determine whether bankruptcy is the best option for you.
If bankruptcy is the best option for you, I recommend the right chapter of bankruptcy that suits your needs.
Chapter 7 Bankruptcy or Chapter 13 Bankruptcy may be better options than a Chapter 11 subchapter V.
You should always understand the bankruptcy process thoroughly before you file for bankruptcy.
If you are having financial pressures and/or just living paycheck to paycheck and need help, call me today:

Ralph A. Ferro, Jr., Esq. (201) 446-5904.

Read more about how a smaller bankruptcy law firm may benefit you.