Bankruptcy Options for Small Business in Georgia

Has your small business hit hard times and taken on more debt than you can repay? Bankruptcy may be a good option to get you out from under hefty monthly payments—but not just any form of bankruptcy will do. After consulting with a Marietta bankruptcy lawyer and confirming that filing is, indeed, your best option, here are a few things to consider when deciding under which chapter you should file.

Chapter 7 Bankruptcy for Small Businesses

Chapter 7 generally works best for sole proprietors who don’t want to liquidate or sell their personal or business assets. It allows business owners to keep their business up and running even after having debts discharged. However, it does keep you (as a sole proprietor) legally and personally responsible for paying back any reorganized or non-dischargeable debt.

Chapter 11 Bankruptcy for Small Businesses

Chapter 11 is rarely a good choice for small businesses that are considering bankruptcy. If you are a small business owner and wish to pursue Chapter 11 bankruptcy, you may only do so and continue to operate the business if it is run by a partnership or LLC or if it has been incorporated.

Chapter 13 Bankruptcy for Small Businesses

Chapter 13 bankruptcy allows you to restructure your debts and pay them back in a way that helps you keep your business up and running. However, this is only open to sole proprietors and poses strict limits on the amount of debt you can owe in secured and unsecured debts in order to qualify.

Weigh Your Options and Move Forward Confidently with a Marietta Bankruptcy Lawyer

At Busch, Reed, Jones & Leeper, P.C., we serve businesses and individuals who are experiencing financial trouble. Our team of bankruptcy attorneys in Marietta, GA is committed to doing everything in our power to serve community members and their businesses by providing clear, trustworthy legal counsel and effective advocacy amid the challenges of declaring bankruptcy. We are prepared to help you find the solution that is right for you.

Call (770) 629-0154 today to get in touch with a member of our team. You can also contact us online to schedule a complimentary case review.