Taking Control Of Your Business Debt
Many businesses face overwhelming debt at some point and wonder if that is the end of their company. If you are in this situation, you may want to consider reorganizing your debt under a Chapter 11 bankruptcy to keep your company moving forward. A Texas bankruptcy attorney can help you determine if you qualify for this type of reorganization.
My name is Kell C. Mercer, and I founded my firm, Kell C. Mercer, P.C., to help businesses throughout Texas find solutions to take control of their business debt. I have over 20 years of legal experience, much of that working as a partner in large law firms. I began my solo practice so I could offer the personalized debt solutions small and midsize firms need.
Steps Toward A Chapter 11 Bankruptcy
Chapter 11 bankruptcy does not eliminate all of your business’s debt. Rather, it allows you to reorganize the debt in a manageable way for you to continue paying for a set amount of time. If you successfully complete those payments, the bankruptcy court may discharge the rest of the debt. Creditors cannot attempt to collect debts during this process.
Steps for a successful Chapter 11 case include:
- File a petition with your local bankruptcy court
- Create a disclosure statement that lays out your plan for repayment and reorganization
- The creditors vote on your plan
- The court confirms your plan
- You continue to operate your business as a “debtor in possession” while making payments
An important goal for most Chapter 11 bankruptcies is to keep the business running throughout the process. Most Chapter 11 cases do not have a trustee. I will make sure that you can focus on managing your business while I address your legal issues. If Chapter 11 does not work for you, the court may convert your case to a Chapter 7 bankruptcy.
Find Out How I Can Help
Chapter 11 bankruptcy cases for businesses make up a majority of my caseload. I have the knowledge and experience you need from your bankruptcy lawyer. Although my office is based in Austin, I assist bankruptcy clients throughout Texas, and even in cities nationwide.