Are Chapter 11 Filings the New Norm for Large Struggling Businesses During the Pandemic?
With consumer spending down and the uncertainty of job security, businesses are undoubtedly hit hard financially…
Every day we read about another company that has filed for Chapter 11 due to the impact of COVID-19 on their daily operations.
With consumer spending down and the uncertainty of job security, businesses are undoubtedly hit hard financially. This means they need to get creative with ways to handle this loss of income in order to survive. By filing for Chapter 11 bankruptcy, this allows a business time to develop a plan for their business to survive in this ever changing world, and set the company up for future growth and success. This form of bankruptcy allows for a reorganization of the business and allows for a fresh start, while remaining in operation.