How Much Should I Expect to Pay for My Chapter 11 Bankruptcy Process?Dallas Legal News
If you are filing for Chapter 11 bankruptcy for your small or medium-sized business, you might be surprised to find that you could be in over your head with the costs associated with these particular cases. You might have already found that it is difficult as is to pay back the corporations who are demanding money from you and now bankruptcy has reared its head and made the process even more expensive. For somebody who just wants to stop collections from calling any longer, you might feel discouraged by the fact that bankruptcy is so expensive.
Many attorneys might also have protections in place that will ensure that they receive the payment they need after handling your case for you. Lawyers representing Chapter 11 debtors might request that an initial retainer is paid in advance so that they can ensure that they will actually receive money for handling your case and won’t be put into an uncomfortable position of handling the case for free.
The Expenses of Bankruptcy
If you are filing for Chapter 11 bankruptcy, you are more than likely looking to reorganize your debts when it comes to your small business. Compared to Chapter 7 and Chapter 13, many people say that Chapter 11 is a bit more expensive when you are getting started. You might find that filing for bankruptcy actually costs anywhere from a few hundred to a few thousand dollars, which could leave you in a poor position as you try to get a hold on your finances.
If you choose to work with an attorney in your Chapter 11 filings, you will find that having an attorney will give you the most protections so that you can receive decent results in your case, but that their fees will account for the largest amount of your actual bankruptcy costs. Bankruptcy laws are complicated, which is why you never want to handle these aspects alone. You could lose out on income or property if you are not familiar with the law, which is why it is imperative to have the best legal advice that can protect you when you need it most.
There are many other costs to be considered in these cases such as bankruptcy filing fees through the court, credit counseling costs, and fees for consumer education – all of which would be required with an attorney or not. All of these fees can greatly vary from one case to another and you should be prepared for everything. Even when you think that you are taking on too much financially as your business suffers and you land in debt, you should never cast aside the idea of bankruptcy. Putting it off will only make the situation worse.
Speaking with a Bankruptcy Attorney
At M.J. Watson & Associates, our experienced bankruptcy attorneys have handled a variety of Chapter 11 bankruptcy cases in the past and are looking to help you through every aspect of your case. Our dedicated bankruptcy law firm is perfectly tailored to your case and we understand the ins and outs of the laws and the impact that a bankruptcy can have on your business. Allow us to help you make the right strides toward a better financial future. Contact us for more information today at 214-965-8240.