Bethesda Business Bankruptcy Lawyer

Knowledgeable Attorney for Business Bankruptcy Cases in Bethesda, MD

While running a business, it is normal to take on different debts to cover various expenses, from equipment to inventory. However, when these debts begin to pile up, and the company is not turning enough of a profit to satisfy creditors, the pressure may become too much to handle. If you have found yourself in this situation, a Bethesda business bankruptcy lawyer can help you strategize to pay off your debts.

At The Law Office of Donald L. Bell, we know just how difficult operating a company can be. We are prepared to assist with your debt concerns with a petition for bankruptcy, pursuing a solution that is tailored to the needs of your business.

Should I Consider Filing for Chapter 11 Bankruptcy?

Business owners often have to reassess their strategy in an ever-changing, competitive market. When a business becomes inundated with debt, it may be time to think about making some necessary changes for the long-term health of the company.

Filing for Chapter 11 bankruptcy can give you the time and space you need to make those necessary modifications. In this form of bankruptcy, you will work closely with the courts as well as your creditors to create a feasible reorganization plan for your business. As part of your reorganization plan, you may have to renegotiate your existing contracts, sell certain assets, and look for other ways to reduce your operational costs.

With over two decades of legal experience, you can trust Attorney Donald Bell to assist you through the process of filing for Chapter 11 bankruptcy. Our firm will work diligently to help make sure the process goes as smoothly as possible, allowing you to continue your daily operations during your bankruptcy petition.

The Benefits of Chapter 5 Bankruptcy for Bethesda Business Owners

In many ways, Chapter 5 bankruptcy can be thought of as a simpler, easier form of Chapter 11 bankruptcy, since both involve drafting a reorganization plan. Unlike Chapter 11 bankruptcy, it does not require the same amount of oversight or approval from outside parties. It also tends to be resolved in less time than Chapter 11 bankruptcy, and with fewer legal fees.

Chapter 5 bankruptcy is an appealing option for business owners, but it also has strict eligibility requirements that not everyone will qualify for. To be considered for Chapter 5 bankruptcy, you must meet all of the following requirements:

• The business's liquidated debts cannot exceed a certain limit that is adjusted annually
• The business must be engaged in commercial activities
• 50 percent or more of the business's debts must come from the operation of the business

Automatic Stays in Business Bankruptcy Cases

One of the most compelling reasons to file for bankruptcy as a business owner is to get relief from your creditors. If you fall behind on your debts, you may have to deal with aggressive collection or repossession efforts from your creditors, which can pose a major threat to your daily operations. When you file a bankruptcy petition with the court, you can stop these collection efforts immediately by having an automatic stay imposed against your creditors.

An automatic stay is a court order that prevents your creditors from harassing you while your bankruptcy case is in effect. This means that you cannot be contacted for late payments or have your assets threatened with repossession. At The Law Office of Donald L. Bell, we can help you file a petition as swiftly as possible to protect your business's valuable property.

Contact a Bethesda, Maryland Business Bankruptcy Attorney Today

If you are feeling a financial strain on your business, our Bethesda, MD business bankruptcy lawyer can help. At The Law Office of Donald L. Bell, our solo practitioner is here to provide you with individualized counsel and representation for your company's needs. Call us at 301-614-0535 or contact us online for a consultation.