Can I continue to operate my business during a Chapter 11 bankruptcy?

Yes, it is possible to continue to operate your business during a Chapter 11 bankruptcy in West Virginia. This type of bankruptcy is known as a reorganization and allows the debtor to keep their business afloat while a repayment plan is negotiated with creditors. The purpose of filing a Chapter 11 bankruptcy is to restructure debt in an effort to create a sustainable repayment plan that is agreeable to both creditors and the debtor. This repayment plan can often include reduced payments, lower interest rates, and even reduced principal amounts. Once approved, the debtor will continue to make payments according to the terms of the plan. During the Chapter 11 process, the debtor also has the ability to seek financing or pursue new investments in their business. This new capital can help the business to stay afloat while the Chapter 11 procedures are being carried out. In addition, the business may still be able to make day-to-day decisions, such as closing contracts, initiating or ending leases, and buying or selling assets. Despite these advantages, businesses filing for Chapter 11 protection should remain vigilant and consult an experienced West Virginia bankruptcy attorney. With the proper guidance, businesses may be able to remain open during the Chapter 11 process and remain successful in the long run.

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