Debt Restructuring As An Alternative To Bankruptcy
While filing for bankruptcy the best option for debt relief for many businesses, some organizations may wish to avoid bankruptcy if possible. For these companies, debt restructuring techniques can be an effective way addressing overwhelming debt without seeking bankruptcy protection. For example, a business could negotiate with creditors to change the terms of an original agreement, including those concerning the amount, interest and repayment period.
At Law Offices of Buddy D. Ford, P.A., our attorney has more than 30 years of experience helping businesses in Tampa and across Florida address their debt problems. We can help explore your options to get your business on the path to a brighter financial future.
Advantages And Risks Of Restructuring Debt
There are a number of advantages to restructuring your business debt, including reducing the stress that comes with unpaid and overdue bills and possibly lowering your interest rates or reducing the total amount you owe.
Of course, debt restructuring is not without its risks. A restructuring may not provide enough debt relief, still putting your business at risk of bankruptcy. Failing to follow the new terms of your debt repayment plan for any reason may cause the entire debt to become due in full immediately. There are also potential tax consequences depending on how much of your debt is forgiven. That is why it is important to speak with a lawyer who can help determine the best option for your situation.
Is Your Business Struggling With Debt? Contact Us Today.
We are a debt relief agency. We help businesses and individuals file for debt relief under the Bankruptcy Code.