When Your Business's Debts Become Your Debts
In order for a business to borrow money, it is not unusual for a lender to require that the business owner guarantee the debt. If the business fails, the individual is then left with these guarantee obligations, which are typically very large amounts of money. In many cases, businesses had years of success, years in which the business owner acquired a stable portfolio and accumulated substantial property. Now, because of these guarantee obligations, the individual's property and legacy are jeopardized. At The Lobel Firm, L.L.P., our attorneys have more than 40 years of experience protecting property and defending legacies. We know how to address guarantee obligations.
Attorneys Well Known for Resolving These Challenging Matters
Like many aspects of overcoming financial problems, dealing with guarantee obligations can seem counterintuitive. This is a nuanced area of the law, but it is an area on which we focus. We bring extensive experience to these matters, and we have helped many individuals who found themselves liable for their business's debts.
Is Chapter 11 Bankruptcy the Solution?
Depending on the situation, Chapter 11 bankruptcy may be the most appropriate course of action. However, we do not consider Chapter 11 a true success. To us, a true success is resolving the financial problem while avoiding bankruptcy. We frequently recommend bankruptcy alternatives, such as debt workouts and restructuring.
To discuss relieving guarantee obligations with one of our California lawyers, call 949-791-9642 or contact us via e-mail.