You may have a company in the USA and are making a good profit from that company. But somehow the corporate may have the possibility to be bankrupted. If the corporation falls in corporate Bankruptcy, it will get a stake in files. To protect a corporation from the corporate bankruptcy’s files, they can take pre protection under US bankruptcy laws.
There are two types of corporate bankruptcy under the US SEC.
1. Chapter 7
2. Chapter 13
At first, we need to clarify the two important terms.
Chapter 7 means the situation when a company is fully unable to run its business. Then court employs a trustee to sell all the assets of the company to pay the stakeholder serially according to the company law. In that case, the lesser taking risk, the higher priority to be paid first.
If the company want to file chapter 7 bankruptcy, it is needed to notify the matter within last 6 to 8 years. company needs submit the present situation of finance.
But if the court thinks that debtor is able to reorganize his assets within short periods of time, it orders the company to files his bankruptcy under the Chapter 13. If you want to get the affordable bankruptcy lawyer then you can visit