The Small Business Reorganization Act of 2019, more commonly known as Subchapter V in the bankruptcy world, is another tool that we can use to help your current financial situation. Subchapter V is exclusively for the Small Business Debtor that wants to continue business operations in one form or another. There are specific debt limits and other criteria to file this type of bankruptcy, but it may be the lifeline your small business needs.
Subchapter V debtors can take advantage of many aspects of the Bankruptcy Code put in place specifically to deal with the issues small businesses face.
If you are a small business owner and are considering bankruptcy, Subchapter V might be right for you.