Financial woes can hit anyone, even companies. Georgia has had several companies within the state file for bankruptcy in the past. Recently, the Georgia-based burger chain Krystal made the decision to file for bankruptcy due to overwhelming debts.
According to WABE News, Krystal was founded in Chattanooga, Tennessee in 1932 and calls itself “the South’s Oldest fast-food chain.” The company moved its headquarters to Atlanta in 2013, and now has about 350 restaurants in 10 different states throughout the South, though many have already closed. The changes in the fast food industry, including many people turning to online food order, have left the restaurant facing a difficult financial situation. The company filed for a Chapter 11 bankruptcy as it currently faces “between $50 million and $100 million” in debts to food suppliers, equipment companies, and other creditors. The goal of a Chapter 11 business bankruptcy is to reorganize and pay creditors back over time, in an effort to keep the business going.
Just like a business that turns to bankruptcy to get a fresh start, you may be considering filing for bankruptcy if you are in a difficult financial situation. When it comes to personal bankruptcy, you have a couple of different options as to what type of bankruptcy you file. These types of bankruptcy work differently but have the same goal: to help you get to a better place financially.
- Chapter 7 Bankruptcy: A chapter 7 bankruptcy is often referred to as a liquidation bankruptcy. In this type of bankruptcy, you will turn your assets over to a bankruptcy trustee. The trustee will sell these assets in order to pay back your creditors. Your unsecured debts, such as credit card debt, medical bills, utility bills, etc. will be discharged.
- Chapter 13 Bankruptcy: A chapter 13 bankruptcy works a little differently. Rather than give up your assets to pay back your debts, you come up with a debt repayment plan. This plan allows you to consolidate your debts and repay them over a 3-5 year period. At the end of this repayment period, if you successfully complete your plan, remaining debts are discharged.
Personal financial difficulties can feel especially overwhelming and consuming. If you are facing this type of financial situation, know that bankruptcy can be the responsible financial choice to help you get to a more stable place. To find out if a Chapter 7 or Chapter 13 bankruptcy would be best for you, contact a skilled Atlanta bankruptcy attorney.
Get Atlanta Personal Bankruptcy Help Today
Bankruptcy is certainly an option for individuals or couples facing financial trouble, just like it is an option for companies in a bad financial place. If you would like to get your questions about personal bankruptcy answered, contact the skilled Atlanta bankruptcy attorneys at The Ballard Law Group at 404-220-9906 today. We offer a free consultation to discuss your specific financial situation. We can go over what type of bankruptcy would be the best option for you. We have years of experience handling Georgia bankruptcies and can be by your side through the whole process. Contact us today schedule your free consultation!