Out of court workouts
CHAPTER 11'S BEST ALTERNATIVE
The current bankruptcy process often impedes the ability for creditors to be paid and or retain the customer relationship they are accustomed to. With many debtors being a vital part of the supply chain, or a long-standing member of the business community. We believe that out of court workouts can benefit all parties concerned. We leverage our unique place as the arbiter of creditors and debtors to reach the optimal solution for business.
When faced with the decision to serve on a committee in a Chapter 11, our members are often in the dark about how to proceed. Part of the benefit of ABC Services is the benefit of our expertise. What this means is that you can call us anytime for referrals, explanation or administrative help with your committee.
More About the Process:
When facing cash flow issues, management may often focus on sales and marketing but their focus strays from their creditors. It's at this juncture we find companies will call in third party professionals. When ABC Services facilitates the conversation with your creditors, our goal is to provide you with breathing room while your creditors are informed, involved and invested in your turnaround.
After consulting on the turnaround potential for your firm, ABC Services will call a meeting of your creditors to keep them informed, explain the situation, and gain buy-in on a plan to avoid bankruptcy. Then, together with counsel, you'll enact the necessary changes required in your business while ABC continues its updates with creditors, who, in short order will help negotiate a plan for repayment.
During this time, ABC Services will place a lien on your company for the benefit of all unsecured creditors and a moratorium for collection and or continued sales will be reached. Eventually, a plan will be voted upon and ABC will distribute funds accordingly. Meeting of Your Creditors After the Meeting