The world is increasingly becoming more difficult for owner-run and medium-sized businesses. It can be very easy to fall behind. This can mean having to lay off employees, being late on payments to vendors, and even defaulting on debts. If steps are not taken, then your business may fail. Chapter 11 of the US Bankruptcy Code was written to address these types of problems. This Chapter can allow a business to reorganize its debts and to continue operating. Retaining an experienced attorney is an important step in utilizing this Chapter as an error may result in the bankruptcy Petition being dismissed. Nikki Dupree-O’Brien is a Las Vegas Chapter 11 lawyer who provides a high level of service. Contact us online or by telephone today to get started.
Attorney assisting Las Vegas businesses through the Chapter 11 bankruptcy process
The US Bankruptcy Code allows a business to reorganize its debt. The company may continue to operate during and after this process. The use of this chapter is appropriate for companies that do not wish to shut down or liquidate, but can no longer operate with their current debt structure. The process can reduce or even eliminate some debts. Unlike Chapter 7, Chapter 11 can require an ongoing process which can take substantial time. The company will not be considered “out of bankruptcy” until the process is completed.
Some business owners may need to file a personal bankruptcy in addition to having their company file Chapter 11. This is more likely with smaller companies as the owner may have signed personal guarantees on loans or leases. Also, depending on the structure and transactions involved with an LLC or partnership, the principals of the company may also have to file a personal bankruptcy to fully reorganize the business’ affairs. Whether one must file a personal bankruptcy, as well as Chapter 11, will be specific to the facts of each case. Retaining an experienced lawyer to assist you is important to both understanding your options and to making sure your case is handled correctly.
The filing of Chapter 11 begins by filing a Petition with the Court. An “automatic stay” will immediately go into effect. This prevents creditors from enforcing the terms of a loan or trying to collect a debt for the time being. The Petition must include a plan for how the company will continue to keep operating. This plan will contain provisions for managing contracts, paying vendors, paying employees, etc. As part of this plan there will be a proposal for reducing and restructuring the company’s debt. Depending on the size of the company, adherence to the plan will either be overseen by a “Committee of Creditors” or by a Bankruptcy Trustee. After a period of time, the company will emerge from bankruptcy with a financial fresh start.
Our attorney assists Las Vegas businesses with the handling of Chapter 11 bankruptcy. Nikki Dupree-O’Brien will use your initial consultation to review your financial records and to gain a complete understanding of your situation. She understands that time is of the essence in your matter and we will file your Petition as quickly as possible. We will help you with the preparation of your payment proposals and will assist you throughout all dealings with the Committee of Creditors or Bankruptcy Trustee. Importantly, we will make sure you know what to expect from the process and will make ourselves available to answer any questions you may have. Our firm is dedicated to providing a high level of service and we look forward to being of assistance. Contact us today.
Las Vegas lawyer helping business owners who must file personal bankruptcy
There are times when a Las Vegas business-owner’s personal finances are intertwined with those of the company. In situations such as this it may be necessary for the owner to file a personal bankruptcy in addition to a Chapter 11. Nikki understands the intricacies of these types of cases and will not suggest a personal bankruptcy unless it is necessary. If such is the case, then we will file your Chapter 7 or 13 as quickly as possible. We focus on this area of law so that you may move forward with your future. We look forward to speaking with you.