Anyone can fall on hard financial times. Individuals may find they suffer from an illness that is expensive to treat, they may lose their job, or their income may be drastically cut. Business owners, too, can face harsh financial trouble. A sudden lack of demand or unexpected business costs can sour a business owner's financial security, making it difficult to live a normal life.
One business owner may know this feeling all too well. The president of Oxford Aviation, a company that refurbishes, repaints and repairs aircraft, recently assigned all of the business' assets to himself and then filed for Chapter 13 bankruptcy protection. By filing for Chapter 13, the president hopes to stave off eviction from the premises where his business operates.
Additionally, the president, who reported between 50 and 99 creditors, $500,000 to $1 million in assets, and a similar amount in liabilities, hopes to sell the business' assets to pay off his debt. This is a very complex strategy that may give the business owner the chance he needs to eliminate debt, obtain manageable payments, and reach a fresh financial start.
Unexpected life changes can exacerbate financial challenges, especially in a struggling economy. Those facing unmanageable medical expenses, credit card debt, and other accumulated debt should speak with a bankruptcy attorney to discover the options available to obtain debt relief. The attorney can discuss these pathways to a second chance, which may include Chapter 7 or Chapter 13 bankruptcy.
Financial difficulties can affect anyone at any time, not just those who are unemployed. The best way to feel better about these financial problems is to seek help. An attorney is ready and willing to listen to individuals' situations and discuss how he or she can help.
Source: The Sun Journal, "Oxford Aviation president files for personal bankruptcy," Peter L. McGuire, Nov. 13, 2013