If you are struggling with increasing debts as a farmer, it is always best to face your problems head-on rather than to simply hope they will go away. When looking at the problems that your farming business has, it can be difficult to know where to start.
This is why it is important that you learn more about your options when it comes to getting a fresh financial start. Chapter 12 bankruptcy is a common choice for struggling farmers because it contains specific provisions that work to address challenges within the agriculture industry.
What is the purpose of bankruptcy?
Bankruptcy is a form of governmental help. It views the debtor as a person or entity who has unintentionally become overwhelmed by debt. The different bankruptcy Chapters offer tailored solutions for the different circumstances of debtors.
How does Chapter 12 bankruptcy help farmers?
Chapter 12 bankruptcy was created solely for the benefit of farmers and fishermen. It helps farmers to reorganize their business, so it can become more profitable. It also helps them create a repayment plan that uses additional profits to tackle debts.
Will there be any short-term benefits?
One of the biggest short-term benefits of bankruptcy is the automatic stay. The automatic stay means that creditors and debt collectors will no longer be able to contact you about your outstanding debts.
If you are struggling financially as a farmer in Florida, it is important that you consider the many options available to you. Taking action sooner rather than later can help you avoid acquiring more debt.