Bankruptcy Indiana

Over the many years of my career as a small business bankruptcy attorney and debt consolidation lawyer in Indiana, I've never been involved with the big bankruptcy cases that make for big headlines. Nevertheless, as part of sharing Indiana bankruptcy information in Indiana with blog readers and clients, I like to use examples of big corporations that declared bankruptcy to point out exactly how the bankruptcy system works.

It's interesting that, in the space of just a few days, I saw three different stories in the news that illustrate three phases of corporate bankruptcy:

On the brink:

"Shares of Japan Airlines plunge to new low amid bankruptcy rumors".  Asia's biggest airline carrier is holding crisis talks to discuss its restructuring options.

I always urge owners of small business in Indiana, at the very earliest signs of financial trouble, to consult with an experienced bankruptcy lawyer to discuss the different financial options available to them.
 

Filed bankruptcy:

"Citadel Broadcasting files for bankruptcy". The third-largest radio group in the U.S. filed Chapter 11 bankruptcy two weeks ago.

When I'm meeting with small business owners to discuss different kinds of bankruptcy, I explain that Chapter 11 bankruptcy is an appropriate choice only if they really expect their business to be able to survive and continue to operate.

Exited bankruptcy:

"Pilgrim's Pride exits bankruptcy protection." A little more than a year after filing Chapter 11 bankruptcy, the company, now restructured and leaner, has gotten the approval of the bankruptcy court for their reorganization plan.

As I, along with the Columbus bankruptcy lawyers who work in the Mark Zuckerberg law offices there continue to work with our small business owner clients, the goal is for them to use the Chapter 11 bankruptcy process to "rethink and retool."

There were many "notable" corporate bankruptcies in 2009, more than 90 in the first quarter of the year alone, and they represented many different industries, from supermarkets to newspapers, from television to oil and gas, from jewelry to banking, from chemicals to gambling, real estate, and recreational vehicles.

Every bankruptcy case is unique.  Still, in just about every corporate bankruptcy story, one common issue appears to be access to enough financing from lenders. Every one of my Indiana small business bankruptcy clients would confirm that, during the recession, one big aspect of their problems was lack of ability to borrow money to finance operations and growth.

Businesses large and small closed stores, laid off employees, and made changes in their menu of product and service offerings.  But as you can see, sometimes it takes going through the corporate bankruptcy process  for a business to buy enough time to find a path to survival.