Qualifying for Chapter 11 Bankruptcy
Even successful businesses can find themselves in financial troubles, facing an overwhelming debt that they are unable to pay back on their own. Although bankruptcy has acquired a negative connotation over the years, Chapter 11 bankruptcy can be a viable option for these businesses to rebuild and improve their financial future.
How to Qualify for Chapter 11
There are a few eligibility rules that must be met in order for individuals to apply for Chapter 11 which include:
- The debtor must be an individual, partnership, corporation, or any other business
- The debtor must file an overview of their assets, current income, current expenses, and other financial information.
- A debtor is unable to file for bankruptcy if they had a prior bankruptcy filing declined or if they failed to appear in court for a previous filing
- A debtor must receive credit counseling from an approved source 180 days preceding their court appearances
Chapter 11 bankruptcy allows businesses to not only restructure their debts in a manageable way, but allows them to continue their affairs as they get back on their feet. However, the filing process for bankruptcy can be long and frustrating when taking it on alone. Due to this, it is essential to have the assistance of an experienced attorney when going through the filing process.
Contact a Plano Chapter 11 Bankruptcy Attorney
If you are considering filing for Chapter 11 bankruptcy, the Plano legal team at Gagnon, Peacock & Vereeke, P.C. is ready to provide the legal advice you need. Call our offices today at (214) 317-4448 to learn more.