Houston Chapter 11 Bankruptcy Attorney

Attorney Helping Businesses Develop Effective Debt Repayment Plans in Houston, TX

Chapter 11 bankruptcy can be complicated. If you are considering filing for bankruptcy under Chapter 11, it is highly advisable to be represented by an attorney who can advocate for you as you work to convince your creditors to approve your reorganization plan. You may hear Chapter 11 referred to as a "reorganization bankruptcy." This is because it involves sorting your creditors into groups and creating a plan to pay back most or all of your debt. While Chapter 11 bankruptcy is most commonly filed by businesses, individuals can sometimes use this form of debt relief as well.

The Fealy Law Firm, PC is experienced in guiding individuals and businesses through the process of reorganization bankruptcy. We will identify your business's strengths in order to win over your creditors and establish a repayment plan you can keep up with. Since the debtor can propose a plan, you are in control to some degree. Our lawyers will carefully evaluate your entire financial situation to create a plan that works for you and that your creditors will approve.

Benefits of Chapter 11 Bankruptcy

If you want your business to continue operating, Chapter 11 bankruptcy may be your best—or only—option for managing debt you cannot otherwise pay off. Benefits of choosing to file a Chapter 11 bankruptcy for your company or yourself include:

• Stopping collections - Once you file for bankruptcy, all of your creditors are required to stop trying to collect your debt immediately. Your creditors must wait until you have agreed to a plan to begin trying to get you to pay again.
• Saving your business - If your business has the potential to survive and become profitable enough to pay your debts, you can keep your business open while slowly repaying the amounts owed.
• You propose a plan - You retain some control over your financial situation. Your attorney will work with you to help you develop a repayment plan that you can realistically follow. While your creditors may propose alternative plans, you have the option to refuse their proposal. However, doing so comes with risks—creditors involved in a Chapter 11 filing can attempt to have the case dismissed, or they may ask the court to convert your filing to a Chapter 7 liquidation bankruptcy.
• Building a better business - You will have an opportunity to consult with your attorney and other professionals to help you develop a more viable and likely successful business plan. Part of establishing a Chapter 11 reorganization plan is proving that your business is likely to succeed and earning enough profit to continue reliably making payments toward your debts.
• Keeping your assets - Your business will be able to keep the assets it needs to continue productive operations. While some plans may involve selling certain assets, you will not need to worry about losing the capital you need to stay open.

When Do Individuals Qualify for Chapter 11 Bankruptcy?

Most individuals who are filing on their own behalf, rather than on behalf of their business, use either Chapter 7 or Chapter 13 bankruptcy. Chapter 11 bankruptcy is likely only viable for individuals who have an extreme amount of debt. It can be a costly process, but for those with very high levels of debt, it may save them money in the long run. You may be able to avoid using a bankruptcy trustee you would have to pay by self-managing your repayment plan.

Contact a The Woodlands Chapter 11 Bankruptcy Lawyer

The Fealy Law Firm, PC will carefully evaluate your case to help determine which type of bankruptcy might be right for you or the business you own. Attorney Vicky Fealy will work to bring you the relief from debt you need. Contact us at 713-526-5220 for a complimentary case evaluation. From our office in Houston, we assist with bankruptcy cases in Harris County, Galveston County, Montgomery County, Brazoria County, Waller County, Fort Bend County, and other parts of Southeastern Texas.