Chapter 11 Bankruptcy in Richmond Hill, Georgia

Federal bankruptcy rules determine how companies in Richmond Hill, Georgia go out of business or recover from deep financial crisis. A bankrupt company might file under Chapter 11 of the Federal Bankruptcy Code to reorganize its business and try to become profitable again. Management continues to operate the day-to-day business activities, but all important business decisions should be approved by a bankruptcy court.

Chapter 11 permits a debtor to enter into an agreement with creditors under which all or a part of the business continues. The business’s debts are restructured so as to allow the debtor to continue the business operation. Basically any partnership, corporation or limited liability entity except a governmental unit may be a debtor in a Chapter 11 case in Richmond Hill, Georgia. Under Chapter 11, only the debtor may submit a plan of reorganization within 120 days of the initiation of the bankruptcy case. Under a typical reorganization plan, the debtor attempts to restructure the debts. Such a plan will generally include the repayment of loans secured by real estate to be paid over an extended time. Intermediate term loans will be proposed to be paid over the remaining useful life of the collateral, which is typically five to ten years.

———————
Savannah Georgia bankruptcy lawyer | Bankruptcy attorneys in Savannah GA and Richmond Hill – Filing for Chapter 13 Bankruptcy and Chapter 7 Bankruptcy in Savannah GA

http://www.savannahgabankruptcy.com