In Traditional Chapter 11 the company must negotiate with a Creditors’ Committee. This creates an added layer of expense, because the attorneys for the Creditors’ Committee have to get paid by the debtor.
In the new Small Business Bankruptcy Chapter 11 there is no Creditors’ Committee.
Paul Hollender is Board-Certified in both Business and Consumer Bankruptcy, and has been helping business owners deal with financial difficulties for 43 years.
If you think this new law might help you, please call (718) 442-4424 to schedule an evaluation and strategy meeting.