Financial hardships can force you to declare bankruptcy as an easier way of working around them. However, it is a process that can be very complicated and you will need the assistance of a bankruptcy lawyer to file and do everything right. Generally there are commercial bankruptcy attorneys that help with filing for business and consumer bankruptcy attorneys who file for individuals. In a commercial setting, your business gets protection from creditors whereas in the consumer setting you or your spouse gets protection from creditors and dealing with clearing the debt or setting payment plans.
When to get an attorney
One of the best steps you can make when you are facing financial hardships is accepting that there is a problem and actually taking the right step in dealing with it. Inability to pay bills, bounced checks, lack of flow cash, constant creditor and debt collector calls, debt that keeps piling up and being unsure how to handle the situation are some of the signs that you need to get yourself or your business a bankruptcy attorney.
As a struggling business, your lawyer will be able to help you get time to restructure the business and reorganize debts or in worse situations close the business. On a personal level, the lawyer will get you a fresh financial start by sacrificing some of your assets or you can reorganize debts and negotiate payments plans with your creditors if you want to repay the debts.
What to expect from the attorney
1. A bankruptcy attorney will offer you competent legal advice. They will not only advise whether declaring bankruptcy is the best way to go, but also help you with filling in the right category and advice on the best ways to use bankruptcy to achieve the financial goals that you have. As part of the advice, your lawyer will also prepare you for the process, make it as easy as possible and even share risks or possible difficulties.
2. The attorney will have the ability to handle your bankruptcy. Familiarity with federal laws on bankruptcy, local court procedures and rules and even bankruptcy trustees within your area will make the process easy for your lawyer. To enjoy this you however must ensure that you choose a lawyer who has the necessary skills and experience to handle your type of case.
3. Handling of all bankruptcy paperwork. Lengthy form packets are inevitable in a bankruptcy case, but fortunately the filing is something your attorney will do for you. The attorneys have specialized software that makes it easy for them to prepare, file required paperwork with the courts. All you will need to do is provide your attorney with all information needed to fill the forms like assets, debts, income and expenses.
4. Representation at the hearings. Bankruptcy cases can have a number of hearings. Whereas you may be required to attend the meeting of creditors hearing, your attorney can represent you in any additional hearings. This representation saves you the anguish that comes with the cases.