Frederick, Maryland Business Bankruptcy Attorney

Skilled Business Bankruptcy Lawyer for Clients in Frederick

Every business goes through periods of hardship, economic or otherwise. If a period of economic pressure threatens to collapse your business, you could consider seeking outside assistance from a legal representative. With the help of a Frederick, Maryland business bankruptcy attorney, you can develop a plan to address your business's debts and adjust your strategy for the long-term health of the company.

At The Law Office of Donald L. Bell, we provide counsel and advocacy for business owners seeking relief from their debts. When you work with our firm, we will help you pursue a solution that allows you to keep running your business while making necessary changes to satisfy your creditors. Our firm is run by one highly experienced attorney, so you can rest assured that your case will not be passed off to a less qualified lawyer.

Types of Debts Incurred by Businesses

Depending on the scope of your business, you may end up taking on many debts, such as:

Tax debts
Commercial real estate loans
Lines of credit for inventory
Equipment loans

Trying to get through these debts in order of priority can feel like a delicate balancing act. At The Law Office of Donald L. Bell, we can assess your debts in order of lowest to highest priority and help you develop a plan to pay them off efficiently.

Chapter 5 Bankruptcy for Frederick Business Owners

By filing for Chapter 5 bankruptcy, you can draft a reorganization plan to reduce your operating expenses and pay off your creditors, which may involve drafting new contracts or selling certain assets. While you are in Chapter 5 bankruptcy, your creditors will not be able to contact you for payment or attempt to collect your assets.

One of the advantages of filing for Chapter 5 bankruptcy is the control it affords to business owners. You have direct input in how your reorganization plan will be handled, with minimal oversight from the courts. You are also not required to surrender equity in your company to satisfy your creditors in Chapter 5 bankruptcy, allowing you to maintain ownership over your business.

Not all business owners qualify for Chapter 5 bankruptcy. You may be barred from this kind of bankruptcy if your debts exceed a certain amount, if your debts are not primarily business-related, or if your business is a passive investment entity. Attorney Donald Bell can review your financial situation to see if you are able to file for Chapter 5 bankruptcy.

What Is Chapter 11 Bankruptcy?

If you do not meet the eligibility requirements for Chapter 5 bankruptcy, you still have the option of applying for Chapter 11 bankruptcy for your business. Similar to Chapter 5 bankruptcy, you will have to submit a reorganization plan detailing how you will pay off your debts. However, in Chapter 11 bankruptcy, there is much more oversight from the courts. You will have to confer with both the bankruptcy trustee presiding over your case as well as your creditors before you make any major decisions about your plan.

By and large, Chapter 11 bankruptcies tend to be more complicated than Chapter 5 bankruptcies. At The Law Office of Donald L. Bell, we will do everything we can to make the process easier on your end, helping you draft a sensible reorganization plan and representing you in bankruptcy court.

Meet With a Frederick, MD Business Bankruptcy Lawyer

At The Law Office of Donald L. Bell, we are here to support you throughout your petition for bankruptcy. Our firm will take the time to understand the issues facing your company so that we can work toward a solution that meets your needs.

To set up your initial consultation today, contact our office online or call our Frederick business bankruptcy attorney at 301-614-0535.