Reduced consumer traffic has many retailers, restaurants and other small businesses considering bankruptcy protection as they try to ride out the Covid-19 storm.
A Chapter 11 bankruptcy allows business to reorganize their affairs, debts and assets providing needed time to rebound following the unprecedented impact many have experienced as a result of the pandemic.
Although a number of businesses have filed for bankruptcy protection, the total number of business bankruptcies is actually down due in large part to the government’s paycheck protection program. In the second quarter (April through June) business filings were at their lowest, and chapter 7 and 13 personal bankruptcies were 27 percent lower than the same time last year, but it may not last.
Some are predicting an increase in all bankruptcies as 2020 wraps up with additional federal help stalled in Congress. For some, bankruptcy protection will help solve lingering financial difficulties of caused by the pandemic so that they can start the new year strong.
Charles E. Covey will carefully review your assets, business income and debts to create a debt relief solution that resolves your situation. For three decades we have answering Illinois business owner’s questions regarding Chapter 11 business bankruptcy protection, or chapter 7 or 13 personal bankruptcy options, contact Peoria bankruptcy attorney Charles E Covey for immediate assistance at 309-674-8125.