Business Dissolution and Bankruptcy
I have helped many clients through business bankruptcy proceedings, whether
they owned a manufacturing shop, a restaurant, pizza shop, or local retail store. When a business is taking on water financially, Chapter 7 bankruptcy can be a useful tool to for the business owner to take their life back.
It is a misnomer that a business can receive a discharge of its debts in a Chapter 7
proceeding. It cannot. However, the owner of the subject business can be eligible for a
personal discharge of his or her obligations tied to the business.
Creditors can still pursue non-liened assets of the business, granted in many
scenarios there is not a lot of value inherent in these assets. Upon the filing of a Chapter
7 petition with the Court, the trustee will also review business assets in order to determine if there are any non-exempt assets worth liquidating for the benefit of the creditors.
If you are living under the multiple stressors of a non-profitable business, you
owe it to yourself to explore what bankruptcy can do to help you.