Bankruptcy Or Not? Dooley Law Office’s Approach To Solving Financial Problems
Wisdom requires all of us, especially those involved in financial distress to take stock of their affairs. The best course of action is to first slow down, seek counsel, be transparent and be courageous.
Whether you are Donald Trump, the founder of McDonald’s, or the owner of a ranch, if you dare to engage in business you will (at one point or another) suffer reversals and setbacks.
American federal law (and most state laws) allow alternatives to bankruptcy. Increasingly states allow private agreements under the label of Assignments for the Benefits of Creditors , or in shorter form, “ABCs”.
For the entrepreneur who has found himself upside down, the first concern is whether the business can be reorganized and if so, can he/she extricate personal guarantees from the reorganized enterprise?
The heart and soul of this approach is to approach the banker honestly and quickly. It is in the bank’s interest to have a successful workout. A good plan (sometimes called a “workout”) with a fresh approach is the inducement for the banker to release your personal guarantees. We have experience with large and small private resolutions of financially troubled businesses.
Dooley’s disposition and experience, enable him to speak effectively to creditors. In the old days, debtors considered bankers as adversaries. Wisdom has taught us all that debtors and bankers ought to be allies, if at all possible.
What is Bankruptcy Law?
American bankruptcy law is divided into chapters. Under the reformed bankruptcy act, chapter 7 debtors must carefully detail their income potential in order to prove their eligibility for discharge of all their debts. An experienced bankruptcy attorney can help you determine that type of bankruptcy would be appropriate the situation as well as alternatives to bankruptcy as appropriate.
Corporate chapter 7 bankruptcies can either result in complete dissolution or reorganization. Dooley Law office offers expertise in bankruptcies and reorganizations, from the smallest to the largest companies and ranch operations.
Call to discuss your situation today! We’re happy to help!