Comparison With Bankruptcy

 

Bankruptcy is the last option and typically the worst option a struggling business can make. In addition to being a very stressful action emotionally, there are a variety of other negative ramifications:

The bankruptcy process typically involves attorneys, trustees, the courthouse and other institutions. It may take up to or more than a year of your valuable time plus considerable expenses from the business. During this time, you effectively give up control of your company to the court and the court appointed trustee.

In addition, in many cases bankruptcy is not an option. Due to tighter bankruptcy laws, the act of filing bankruptcy may cause you to lose your business.

The most long term negative result of bankruptcy is the mark it leaves on your credit. As a business owner, you may need credit in the future. By having filed bankruptcy, you have shown future creditors that you will walk away from your debts. This signifies an increase in risk for lenders and may result in denial of future credits or much higher interest rates.

A much better alternative is Business Debt Restructuring where we work with your creditors based on your budget to save you as much money as possible as well as get your debts resolved as quickly as possible. The goal is to enable you to focus on and grow your business while we work with your creditors.

*If you are considering bankrutpcy, you should speak with a bankruptcy attorney. 

Commercial Debt Counseling

 

Commercial Debt Counseling is dedicated to helping businesses struggling from the pressures of debt succeed to achieve financial stability and success.  

While Consumer Credit Counseling (CCC) exists for individuals, Commercial Debt Consolidation exists for struggling businesses to help them avoid bankruptcy and to create repayment programs with their creditors that fit within the budget of the business.

We do that by restructuring your business debts with corporate credit cards, vendors, creditors, suppliers, business lenders, collection agencies, or attorneys.  At the same time we are increasing the cash flow of your business, we work to maintain relationships with key suppliers and vendors.

If your accounts are already delinquent and you are receiving creditor calls with harassing threats, calls, potential repossession, or litigation, we will get started immediately as the point of official contact so that you can focus on your business. 

Our focus is on reaching out-of-court resolutions that work for your company.

Our program puts you and your business in control of what creditors you want us to work with, which creditors you need to continue services with, how much funds are available, and when they will be available.

debt consolidation advice

Thinking About Filing Chapter 11 Business Bankruptcy?
 
We recommend that you get free commercial debt consolidation advice to restructure your company's business debts. 

Federal bankruptcy laws govern how companies go out of business or recover from crippling debt. A bankrupt company, the "debtor," might use Chapter 11 of the Bankruptcy Code to "reorganize" its business and try to become profitable again. Management continues to run the day-to-day business operations but all significant business decisions must be approved by a bankruptcy court.

Under Chapter 7, the company stops all operations and goes completely out of business. A trustee is appointed to "liquidate" (sell) the company's assets and the money is used to pay off the debt, which may include debts to creditors and investors.
In the commercial debt counseling program, you are in control.

Your assets such as inventory, bank accounts, and equipment are protected from day one. You decide how much you can afford on a monthly basis to put toward your creditors instead of a court-appointed trustee.

 Creditors are prioritized and critical suppliers are kept providing the materials that you need to keep your doors open and payments and reductions are negotiated with the others.
We recommend that you get a free and expert commercial debt counseling to restructure your company's business debts.