Owners of small businesses often have their personal assets tied to their business property. When debt becomes too great, and the business income cannot keep up with payments to creditors, Chapter 7 bankruptcy may be a viable solution.
Is Chapter 7 Always the Best Solution?
At The Golden Law Group, we often advise business owners that they don't file for Chapter 7 for their business entity. If the business has insignificant assets and is no longer a viable business entity, it may be the best solution to simply let the corporation die by not renewing its corporate status. If the business has assets that can be liquidated, however, it is probably best to file for Chapter 7, to ensure that creditors cannot take action against the individual owner.
Filing Personal and Business Bankruptcy at the Same Time
If you have commingled your personal assets with your business entity, it may be best to file simultaneous Chapter 7 bankruptcies for yourself and your business. By filing simultaneously, you won't necessarily reduce your filing fees and attorney costs, but you will save a significant amount of time by having the two bankruptcies confirmed in the same time frame, rather than consecutively.
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Learn more about Chapter 7 for small businesses. Call an experienced Florida bankruptcy attorney at The Golden Law Group. We are ready to answer all of your questions about bankruptcy, debt relief and illegal collections practices.
From three convenient office locations, we represent small business owners in bankruptcy matters in Bradenton, Brandon, Sarasota, Tampa and communities throughout the Florida Gulf Coast region. If you are over your head in debt and don't know where to turn for relief, turn to us. Contact us today for a free, no-obligation consultation.