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Bankruptcy assistance is a reliable debt relief solution not only for individuals, but also for business owners. While it can provide a fresh start should you choose to continue your operations, it’s important to understand the extent at which you may do so. Greg Dunn, Bankruptcy Attorney, of Honolulu, HI, says the process requires a great deal of give and take, but with a bankruptcy attorney at your side, the future will present a positive outcome.

bankruptcy assistanceIf you want to keep your business, it’s best to avoid Chapter 7 bankruptcy. Because liquid assets such as property, investments, and high-value possessions are used to repay creditors, sole proprietorships qualify as an “individual.” This means courts can require you to turn over crucial pieces of your business to lenders—such as equipment, real estate, and savings. For corporations and LLCs, court-appointed trustees will take control of stock ownership with the ability to liquidate funds, sell your business, or abandon it. However, once you’re free from debt, you can develop a plan to repurchase your business from the trustee and pick up where you left off.

Chapter 13 bankruptcy is not an option unless you’re a sole proprietor, as only individuals qualify. If you are a sole proprietor, it can be the ideal solution, as it permits you to keep your assets and run your company while you repay your debt. If you own a significant amount of assets, some may be liquidated to compensate for a payment plan discount, but courts rarely take measures that would put your business at risk of closing. However, you may end up paying more money back depending on the assets you keep, so consider how you want to portion out key aspects of your business.

Though bankruptcy may force you to close your company, it does provide the clean slate you’ll need to start again. If you’re considering bankruptcy assistance to keep your business up and running, turn to Greg Dunn, Bankruptcy Attorney for assistance. With over 25 years of experience, he has the knowledge and expertise to help you get out from under your debt and stay true to your mission. Call (808) 524-4529 today to schedule a consultation, and visit the website to learn more about his bankruptcy assistance services.

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