Chapter 11 Bankruptcy in Sacramento
No business is immune from the uncertainties of the current economic climate. Even a business with a long history of profitable operation can suddenly face debts that cannot be repaid for any number of reasons:
- Customers are forced to tighten their belts and stop buying your goods and services.
- Those customers who continue to buy are delaying payments, forcing you to delay payments to your creditors.
- Even your best customers fail to pay entirely due their own financial situation.
The good news is that corporations, partnerships, and sole proprietorships may be able to restructure under a Sacramento Chapter 11 bankruptcy.
How Sacramento Chapter 11 works
Often called restructuring or B2B bankruptcy in Sacramento, Chapter 11 allows qualified businesses to keep all or a portion of their assets by repaying all creditors through newly-negotiated debt repayment plans. Under this form of Sacramento business bankruptcy, business owners or representatives meet with all debtors and a court-appointed trustee to disclose their financial details and negotiate new terms for each loan. In most cases, all parties agree to change any of the following loan provisions:
- Extension of the loan repayment period, commonly to five years (the most common negotiated change)
- Change in interest rate
- Reduction of the loan balance
Filing Chapter 11 in Sacramento is a complex and detailed process. It is critical that business owners retain an attorney experienced in the accounting and other details of business bankruptcy in Sacramento. The attorneys at Northern California Law Center, P.C. have the experience needed to help provide a fresh start for businesses in the cities of Elk Grove, Roseville, and Folsom, and the counties of Sacramento and Sonoma.
Contact us to determine if a Sacramento business work out is an option for you
We understand how overwhelming the process of business bankruptcy in Sacramento can be to business owners who are simultaneously trying to keep their businesses afloat. You need the assistance of a competent and caring attorney to guide your company toward better times.
Northern California Law Center, P.C. provides the knowledgeable representation needed to guide you through the legal process and help your business emerge from bankruptcy with a fresh start. For your convenience, we offer a free initial consultation and payment plans. To schedule a consultation with an Sacramento bankruptcy lawyer, contact the Northern California Law Center, P.C. by e-mail, or call us today at (916) 478-4139.
