There are many bankruptcy alternatives available to struggling businesses that have an uncertain future. Sure, filing for Chapter 11 might be the most popular route to take when it comes to restructuring, but companies should also know that there are businesses out there that specialize in helping struggling companies improve their cash flow and turn profits.
Consumer Credit Counseling Service of the Tennessee River Valley
(256) 881-1000
1015 Airport Rd SW
Huntsville, AL
Consumer Credit Counseling Service of Alabama Inc
(205) 752-2598
2316 University Blvd
Tuscaloosa, AL
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There are many bankruptcy alternatives available to struggling businesses that have an uncertain future. Sure, filing for Chapter 11 might be the most popular route to take when it comes to restructuring, but companies should also know that there are businesses out there that specialize in helping struggling companies improve their cash flow and turn profits. Let's take a look at why alternatives might be attractive.
Details on Bankruptcy Alternatives
Bankruptcy alternatives might be attractive to businesses for a number of reasons. First, let's consider the details of Chapter 11. This filing will call for US Trustee committees to help a company formulate a business plan to get the business out of its rut. This plan must be approved by a number of people: the court, the creditors, the stockholders, and the note holders. The unfortunate thing about Chapter 11 is that there are high costs associated with it, in the form of lawyer fees and delays.
Also, one might be interested to know that in its current form, Chapter 11 filing would require the company to hire another company to provide debt counseling for them. Not only are they paying for lawyer fees, they must also hire a debt counseling company. Using an alternative can help a business secure its creditors without needing formalized filing, and it can cost significantly less.
Bankruptcy alternatives can be found in many places, but it's best to conduct a little research for making any decisions on either the Chapter 11 filing or using an alternative. One suggestion is to look up some alternative business debt relief sites on the Internet that provide these kinds of services. Certified professionals can assess a company's state and perhaps provide a quote.
Tina M. Parker, P.C.
(256) 766-0460
406 South Cedar Street
Florence, AL
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