News & Analysis as of

Small Business Coronavirus/COVID-19 Reorganizations

Locke Lord LLP

Too Much of a Good Thing: Congress Allows Increased Subchapter 5 Eligibility Level to Expire

Locke Lord LLP on

Over the past few years, one of the universally celebrated success stories in the bankruptcy and restructuring world has been Subchapter V of the Bankruptcy Code. Created by the Small Business Reorganization Act of 2019 (the...more

Goodwin

A New Bankruptcy Lifeline for Startup, Early Stage and Emerging Growth Companies?

Goodwin on

Top 10 Questions About Subchapter V Reorganization - Reorganization under Chapter 11 of the Bankruptcy Code offers powers and benefits that are simply not available in out-of-court restructurings. Chapter 11...more

Tonkon Torp LLP

Chapter 11 Bankruptcy: The Ultimate Corporate Finance Tool

Tonkon Torp LLP on

COVID-19 ushered in a volatile economic climate that has made it difficult for many companies to meet their debt obligations. These companies may soon face a lender demanding repayment of debt that the company cannot pay....more

Cozen O'Connor

COVID Cash Crunch: Options for Reorganizing or Winding Down Your Company in Illinois

Cozen O'Connor on

The financial distress caused by the COVID-19 pandemic has left many companies reeling. With no clear end in sight, the bad news is that some businesses will be forced to pursue options for winding down or reorganizing....more

Ward and Smith, P.A.

Can a Business Owner Reorganize Guaranty Obligations Under Subchapter V?

Ward and Smith, P.A. on

We have previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code. The new...more

Ward and Smith, P.A.

Controlling Expenses in Small Business Chapter 11 Cases

Ward and Smith, P.A. on

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code. Subchapter V was part...more

Schwabe, Williamson & Wyatt PC

Chapter 11 Bankruptcy is Expensive; the Small Business Reorganization Act Provides a Realistic Opportunity for Small Businesses to...

Many commentators have long complained and many companies have experienced the reality that bankruptcy laws are too complex, costly, and onerous to successfully allow small businesses to survive by reorganizing in bankruptcy....more

Spilman Thomas & Battle, PLLC

Subchapter V and the Single Asset Real Estate Debtor in a COVID-19 World

Over a year ago, Congress amended the Bankruptcy Code to create Subchapter V, with the intent of encouraging small businesses (defined as those with less than $2,725,625.00 in debt) to file reorganization plans more often by...more

Sands Anderson PC

The New Small Business Reorganization Act Comes with New Forms and Rules

Sands Anderson PC on

Congress recently enacted the Small Business Reorganization Act of 2019 (the “SBRA”), which created Subchapter V of the Bankruptcy Code, and became effective on February 19, 2020. The SBRA was enacted to expedite and reduce...more

Cole Schotz

COVID-19 Legislation Makes Reorganization Quicker And Less Expensive For Small Business Debtors

Cole Schotz on

Chapter 11 for the Smaller Guys. Until very recently, filing for Chapter 11 reorganization was a tool for larger businesses since the process is expensive and time consuming while the Debtor corporation seeks to negotiate...more

Robins Kaplan LLP

Can Corporate Bankruptcy Help Your Small Business? Expansion Of The Small Business Reorganization Act

Robins Kaplan LLP on

In the wake of the COVID-19 pandemic, the country’s small businesses have suffered systemic and catastrophic disruption to operations, demand and supply that will make it impossible for many such businesses to fulfill their...more

A&O Shearman

The Liquidity Crunch

A&O Shearman on

The global economy has been greatly impacted by the COVID-19 pandemic and a significant drop in oil prices. The combination of these two factors coupled with the uncertainty surrounding the length of time COVID-19 will hold a...more

Nelson Mullins Riley & Scarborough LLP

CARES Act Makes Small Business Bankruptcy More Accessible

Companies with Debt Up to $7,500,000 Now Eligible for Relief - The primary purpose of the new CARES Act is to provide emergency financial and health care assistance to individuals, families, and businesses that are...more

Bradley Arant Boult Cummings LLP

Congress Expands Small Business Bankruptcy Relief in Historic Coronavirus Aid Bill

Small businesses often struggle to reorganize in bankruptcy. To address this issue, Congress passed the Small Business Reorganization Act of 2019. The act took effect in February 2020 and makes small business bankruptcies...more

Dickinson Wright

A Realistic Survival Option For Small Businesses – Relief Under The Small Business Reorganization Act

Dickinson Wright on

No one can yet predict the overall effect the COVID-19 pandemic will have on the economy in the long run. However, the immediate impact on small businesses seems readily apparent. The dramatic disruption has impeded cash...more

Baker Donelson

CARES Act Expands the Small Business Reorganization Act – Lenders Beware

Baker Donelson on

The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) expands a new law that streamlines the Chapter 11 bankruptcy process for small businesses to include a larger group of small businesses. The Small Business...more

Ward and Smith, P.A.

Understanding the New "Fast-Pass" Small Business Bankruptcy Process

Ward and Smith, P.A. on

With COVID-19 and the attempts to contain it causing cataclysmic business interruption, many small businesses may find themselves on the brink of insolvency. While we hope that lenders, landlords, suppliers, and federal,...more

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