Texas Business and Consumer Bankruptcy Attorneys
Businesses file for bankruptcy for many different reasons. A business may elect to either liquidate or reorganize under the bankruptcy code. In some situations, it may be better to liquidate your business than to reorganize it. For example, if your business requires little investment, has few assets and is really just an extension of your skills, you may be better off liquidating and starting over with a new business.
However, if your business has significant assets, a substantial workforce, and the potential to make a profit, you can use the bankruptcy laws to help you stop creditor collection actions, reject leases or contracts that are not advantageous, and buy time for your business to get on track.
Businesses also use the bankruptcy laws to buy time to sell their business or to realize more of a profit from asset sales than the fire-sale prices they would realize in a forced sale.
Consumer bankruptcy typically involves either a Chapter 7 bankruptcy or a Chapter 13 bankruptcy. A “means test” is employed to determine if a consumer debtor can even qualify for a Chapter 7 bankruptcy.
A Chapter 7 bankruptcy is basically a personal liquidation and takes much less time than a Chapter 13 bankruptcy. A Chapter 13 bankruptcy is basically a personal reorganization and allows payment of all debts during a 3-5 year period.
Both Chapter 7 bankruptcy and Chapter 13 bankruptcy trigger an automatic stay that stops all collection efforts by the creditors, even foreclosure efforts, repossession efforts and garnishment proceedings.
More importantly, a personal or consumer bankruptcy will afford you an opportunity to discharge current debt and permit you a fresh start. Basically, it gives you a second chance.
Our focused bankruptcy practice areas:.
- Chapter 7 bankruptcy
- Chapter 13 bankruptcy
- Chapter 11 bankruptcy
- Business bankruptcy
- Credit Card Debt
- Credit Harassment
- Wage Garnishment
- Home Foreclosures
- Individual Reorganizations
- Invalid Claims
- IRS Collections
Contact a Dallas/Fort Worth Consumer Bankruptcy Lawyer
Serving clients in Bedford, Dallas, Fort Worth, Arlington, Weatherford, Mesquite, Plano and beyond.