Why Hiring a Chapter 11 Attorney is Critical for Your Filing

Chapter 11 is widely viewed as one of the most difficult and complex types of bankruptcy. Chapter 11 allows a business (usually one that is a separate legal entity, like a C-corporation or an S-Corporation) to restructure its assets and its debts in order to resolve a bad financial situation. if a business gets too deep into debt or the debts are not set up with advantageous terms, it can prevent an otherwise profitable business from making money. Likewise, mismanagement of company funds can also create a situation where a business that could be profitable isn't. A chapter 11 is designed to apply in these situations and to help save the business... but in order to be successful, hiring a chapter 11 attorney is critical.

Why You Need a Chapter 11 Attorney

In general, when you file any chapter of bankruptcy, hiring a lawyer is important. Your lawyer can help you to:

• Ensure you comply with all court requirements for the bankruptcy
• Ensure your creditors have proper notice
• Ensure all paperwork is completed on time and properly

Failure to do any of these things can either delay your bankruptcy, result in debts not being included, or result in an outright denial of any bankruptcy you file under any chapter of the bankruptcy code. With a chapter 11, however, hiring a lawyer becomes even more important for several reasons:

• A chapter 11 requires you to create a plan to restructure the company to show it is profitable. A lawyer can help you to create a plan that will be approved by the court, and your lawyer can also help you prepare to have a trustee to come in to oversee the way debts are handled and the way business is management
• A chapter 11 can drag on for many years, and during this entire time, the company may be under the control of the trustee. A lawyer can explain your ongoing rights and obligations during the process
• There is a tremendous amount of paperwork involved in filing a chapter 11, especially if your business has over $1 million in assets. The bankruptcy filing can also be very expensive. A lawyer can help make sure everything is done right so you don't do anything to slow the proceedings or jeopardize the bankruptcy or the continued operation of your business.

Getting Help

A lawyer experienced in chapter 11 can help you to deal with every aspect of filing bankruptcy under this complex portion of the bankruptcy code. Your lawyer will be the advocate for you and your business and can help make sure decisions are made in your best interests.