Gillman, Bruton & Capone have been representing Small Businesses and their owners in business bankruptcy and other proceedings since 1981. Whether the business debt problems are a single creditor suing you and the business in a lawsuit or a pile of accumulated debt, it is important to consult with an experienced New Jersey Chapter 13 business bankruptcy attorney to learn your rights and review all of your options to protect you and your small business.
The worst thing you could do is delay a frank consideration of your alternatives. We want to help you keep your business going and help it recover from this temporary situation. Chapter 13 bankruptcy allows you to regain control over your finances. We can help you decide what percentage of your debt you can pay, and if the bankruptcy court accepts the plan, you will make monthly installments for several years to satisfy the debts.
Contact a New Jersey Chapter 13 business bankruptcy lawyer as soon as you recognize your liabilities are having a negative effect on your business. With our help, you can keep your business operating, protect your home, car, and other assets, and get out from under crushing debt.
Chapter 13 bankruptcy is designed to help individuals and married couples get out of debt without losing their home or other critical assets. It allows people with a regular income to agree to pay a reasonable portion of it towards their debt in monthly installments over three to five years. In return, mortgage lenders and other creditors must cease collection efforts while the individual makes the agreed payments.
Although businesses cannot usually file for Chapter 13 bankruptcy, sole proprietors take personal responsibility for their business’s debt. It is possible for the principal of a closely held business where the business debts are mostly joint debts owed by both the principal and the business entity to file a Chapter 13 bankruptcy petition. By filing Chapter 13 for the individual and paying the debts out over time, it is often possible to obtain the breathing room the business needs to survive.
Our New Jersey attorneys have represented many business owners who find themselves in significant financial trouble. Chapter 13 can help those who wish to protect themselves, their property, and their family from the effects of business debt or a business that fell victim to the challenging economy. In some cases, the relief that Chapter 13 provides allows the sole proprietor to keep the business operating on a stronger footing than before.
In our experience, one of the most common errors we see our clients make is waiting to consult an attorney experienced in small business debt issues. Small business owners assume that they don’t need to consult an attorney until things are “much worse” or feel that attorneys who are experienced in Business Debt will force them to close or will cost too much.
We have assisted many business owners in all stages of business debt and believe that it is never “too early” to consult an experienced attorney to know your rights, options, and to be able to make the best business decisions. Your creditors have attorneys. Small business owners need one too.
In fact, the earlier in the process you seek help, the easier it can be to resolve the issue in a satisfactory way. Our firm is sensitive to the pride you take in your business and your desire to keep your doors open. Our New Jersey Chapter 13 business bankruptcy attorneys can work with you to find an alternative that will allow you to continue operations, and we can do it at a reasonable fee.
Chapter 13 bankruptcy protection prevents creditors from initiating or pursuing foreclosure, repossession, or other debt collection actions for a set period while the debtor repays what they can. Chapter 13 is only available if the amount of debt does not exceed a threshold limit.
You must disclose all your income and interests in real and personal property, including future interests, and list the value of your exempt property. Exempt property includes your home, car, retirement accounts, social security benefits, and could include other property in a specific case. One of our New Jersey attorneys can ensure that you claim an exemption for all your eligible property in a Chapter 13 business bankruptcy.
You must agree to repay your debts over time. We will work with you and your creditors to develop a payment schedule that you can live with, allowing you to preserve your business. In this scenario, you make a monthly payment to the bankruptcy trustee, who distributes it to your creditors. If you make all your monthly payments, then your debt is discharged at the end of the term. If you fail to make payments as agreed, the creditors could resume collection efforts.
Chapter 13 bankruptcy is often an appealing option for sole proprietors whose debt or legal liabilities threaten their business. It allows you to protect your most important assets while paying down your debt at a rate you can afford. You have control over the bankruptcy process and can emerge financially stronger at the end of the repayment term.
If your liabilities have become overwhelming, speak with one of our New Jersey Chapter 13 business bankruptcy as soon as possible to set up a free case review.