Helping Households and Business Owners Find Financial Relief in and around Salt Lake City
Debts can become overwhelming for many reasons, including an unexpected job loss, a medical issue, or a misjudged business decision. Whatever the reason may be, struggling to pay your debts can be a seemingly endless source of stress in your life. Collectors, wage garnishments, eviction notices, foreclosure or repossession notices, and lawsuits can impact almost every aspect of your household or business.
It is important to know that there are legal options that can provide debt relief on both a personal and business level. At JLT Law, we can evaluate your financial situation and help identify potential solutions to alleviate your stress and help you start anew. One common solution for individuals, married couples, and business owners is filing for bankruptcy.
If you would like to learn more about the bankruptcy process and whether this solution is right for you, call our experienced bankruptcy team at JLT Law today.
Options for Personal Bankruptcy
If you and/or your spouse cannot keep up with all of your personal debts, you may benefit from filing for Chapter 7 or Chapter 13 bankruptcy. Both types of bankruptcy can end with a clean financial slate, however, the process for each is quite different. In determining which type of bankruptcy may best suit your situation, JLT Law will consider your income, expenses, types of debt, assets, property value, and other factors. The following is some brief information regarding each type of personal bankruptcy:
- Chapter 7 – If you qualify for Chapter 7 bankruptcy, you may obtain a discharge of your unsecured debts, including medical bills, personal loans, credit cards, legal judgments, and more. This type of bankruptcy will liquidate certain assets and property in exchange for the discharge, so it may not be right for everyone.
- Chapter 13 – If your income is too high for Chapter 7 or you want to protect substantial assets or property, Chapter 13 can help to reorganize your debts into a manageable payment plan. After completion of your payment plan, your qualifying debts will be discharged. Chapter 13 can also help if you are facing foreclosure or if you have significant debts that are not eligible for discharge under Chapter 7.
In some situations, if you do not qualify for Chapter 7 or 13, bankruptcy under Chapter 11 may be available for personal bankruptcy, as well. Our experienced bankruptcy attorney will explain each type of bankruptcy in detail so you can decide which may be right for you.
How Business Bankruptcy Works
Like personal bankruptcy, businesses have different options for handling debt issues through bankruptcy, including Chapter 7 and Chapter 11 bankruptcy. Some of the main factors in deciding which type of bankruptcy to file for your business will be whether or not you want to continue business operations, as well as the type of business entity you have.
- Chapter 7 – Businesses that file for Chapter 7 bankruptcy will be liquidated before their debts will be discharged. In addition, Chapter 7 is the appropriate type of bankruptcy for sole proprietorships and simple partnerships, as your business debts will be considered to be personal debts, as well.
- Chapter 11 – Chapter 11 allows a business to remain in operation but under the close guidance of the Bankruptcy Court. There are many requirements for businesses under Chapter 11 and the process can be expensive, therefore, it is often more suitable for larger corporations.
The best way to decide whether bankruptcy is a viable option for your company is to call JLT Law for a free consultation today.
Have Your Situation Evaluated by a Salt Lake City Bankruptcy Attorney
Whether you are overwhelmed by business debts, personal debts, or both, it is important to have a highly personalized evaluation before you decide to file for bankruptcy. At JLT Law, we will never pressure you into bankruptcy but will simply fully explain your options, answer your questions, and address your concerns. If you decide to file for bankruptcy, we will then represent you throughout every step of the process to ensure the best results at the end of your case.
For a free, no-obligation consultation with a Salt Lake City, UT bankruptcy lawyer regarding your bankruptcy options, please call JLT Law at 801-596-9400 today.