Filing bankruptcy is an important step for many businesses and individuals struggling with debt, law suits, foreclosures, and other issues that “trigger” their need for financial relief. For the majority of businesses and people that file bankruptcy, the debt relief they obtain in bankruptcy vastly outweighs the cost of filing bankruptcy. This is especially true [...]
Business insolvency means that a business has more debts (more liabilities) than its assets. A business is distressed if it cannot generate enough revenue to cover its operating costs. If your business is insolvent, distressed, or both, you may be considering options for liquidation of your business. There are two (2) main business liquidation options [...]
Despite its stigma, a business struggling with legal or financial issues can reap the benefits of bankruptcy. Business bankruptcy can give a company the time and space it needs to regroup and create a plan of reorganization. Alternatively, a business can use that time and space to orderly liquidate its assets. In either instance, the [...]
Operating a business is hard work. Keeping a business open for the long haul is even harder. According to the U.S. Bureau of Labor Statistics, about 20% of small businesses close within their 1st year of operations. Around 50% of small businesses close by their 5th year of operations. In the end, only 33% of [...]
When most people think about the word “bankruptcy,” they’re thinking about filing Chapter 7 bankruptcy. It’s the simplest kind of bankruptcy. It is also the most common kind of bankruptcy. But Chapter 7 can also be the most risky kind of bankruptcy. Most people file Chapter 7 bankruptcy with the expectation that, because they don’t [...]
Bankruptcy is a big deal. It’s a powerful, complex and, for most people, a very confusing concept. Bankruptcy in New Jersey is especially complex in 2021 due to new laws and regulations related to the pandemic. We’ve created this guide to make it easier for you to understand the most important bankruptcy concepts, from a [...]
