Some New York businesses prominently thrive from the moment of inception.
Others, of course, don’t.
In fact, many business enterprises — even those with strong management, impressive business plans and far-sighted entrepreneurial vision — face daunting financial challenges from broad-based sources. Funding might dry up. Stalled sales can yield repayment problems. Unforeseen regulatory hurdles might emerge.
For any number of reasons, business principals can easily find themselves in dire need of proven legal counsel that can advise as to plausible strategies for responding to onerous debt exactions.
It is likely that Chapter 11 bankruptcy will be one considered possibility in any attorney/client discussion regarding a purposeful response to heavy financial pressures.
Is that debt-relief route right for your business?
As is often true with many legal considerations, the answer to that query must be couched.
Candidly, it depends.
An online overview of Chapter 11 bankruptcy notes that, while it can enable a struggling business to reorganize and, sometimes, emerge from bankruptcy more profitable than ever before, the process is time consuming and entails some complexity.
In fact, and as we note on a relevant page of our website at the Manhattan law firm of Rich Michaelson Magaliff Moser, LLP, Chapter 11 is flatly “not like other forms of bankruptcy” and is often “far more complex.”
We know that because our tested commercial bankruptcy attorneys have played a central role for many years in large-scale and notably high-profile Chapter 11 cases featuring in New York and across the country.
We stress on our site that, while a Chapter 11 filing for a business owner is often a logical strategy for reorganizing, “it is not always the only option available to businesses and should not be the first alternative.”
Our lawyers welcome contacts to the firm and the opportunity to discuss how a Chapter 11 bankruptcy reorganization (or other employed debt-reduction strategy) might make optimal sense in a given case.