Category Archives: Chapter 11 Bankruptcy
How Rising Commercial Insurance Costs Are Pushing Florida Businesses Toward Reorganization
general liability, and workers’ compensation. What is different lately is the pace. Premiums that once crept upward a few percentage points a year are now jumping in double digits within a single renewal cycle, and for many small and mid-size companies, insurance has quietly become one of the largest line items on the balance… Read More »
Why Chapter 11 May Fit a Struggling Business Better Than Closing Its Doors
Closing a struggling business can feel like the responsible thing to do. Stop the bleeding, lock the doors, move on. But shutting down does not make debt disappear, and it does not necessarily protect an owner who signed a personal guarantee on a lease, a line of credit, or an equipment loan. Chapter 11… Read More »
What Small Business Owners Should Know Before Closing Instead of Reorganizing
When a business is behind on its debts, the owner is usually presented with two paths: try to reorganize and keep operating, or wind the business down. The instinct is often to assume reorganization is the responsible choice and closing is giving up. That is not always true, and treating the decision as a… Read More »
What Happens to a Personal Guarantee in a Business Bankruptcy?
Most business owners sign personal guarantees without much thought. The bank will not lend without one, the landlord insists on it, the equipment vendor requires it. Years later, when the company is considering a Chapter 11 reorganization, that signature can become the most important document in the file. The short answer to what happens… Read More »
Can a Subchapter V Bankruptcy Restructure My Florida Business’s EIDL Loan Debt?
Small business owners across South Florida who are struggling to keep up with a large Economic Injury Disaster Loan (EIDL) often hear that Subchapter V of Chapter 11 is the answer, marketed at its creation as a faster, cheaper, and simpler alternative to a standard Chapter 11 case. In practice, many businesses that pursue… Read More »
How Does Chapter 11 Bankruptcy Affect the SBA’s Lien on My Business’s EIDL Loan Collateral?
If your business received an Economic Injury Disaster Loan (EIDL) of more than $25,000, the SBA almost certainly took a security interest in your business assets as a condition of the loan, filing a UCC-1 financing statement covering equipment, inventory, accounts receivable, and other business property. If your business is now considering a Chapter… Read More »
Business Responsibilities to Employees During Chapter 11 Bankruptcy
Chapter 11 bankruptcy filings are becoming more and more common among businesses in South Florida, and data reported by the American Bankruptcy Institute (ABI) indicates that commercial Chapter 11 filings rose by 3 percent during 2025, while commercial filings in general rose by about 13 percent. If your business is currently considering Chapter 11… Read More »
What Are Avoidable Transfers in a Chapter 11 Bankruptcy?
When a business files for Chapter 11 bankruptcy (or in the less common situation in which an individual files for Chapter 11 bankruptcy), the debtor will typically become a debtor in possession. What this means is that, during the course of the bankruptcy case, the debtor will take on all but the investigative powers… Read More »
Can Chapter 11 Bankruptcy Involve the Liquidation of Some Business Assets?
If your business is considering a Chapter 11 bankruptcy filing, you may already be aware that this is a type of reorganization bankruptcy that does not involve the liquidation of business assets and does not require the closure of a business. Many business owners are eager to file for Chapter 11 bankruptcy over a… Read More »
What Should My Business Include in a Chapter 11 Bankruptcy Plan?
Chapter 11 is the most commonly filed type of reorganization bankruptcy for businesses, and it is also the type of bankruptcy that individuals file when their debts are too high to qualify for Chapter 13 bankruptcy. Like other forms of reorganization bankruptcy, Chapter 11 bankruptcy cases require various kinds of information in conjunction with… Read More »
