Hi, thanks for your question. You should hire a lawyer for specific legal advice. No attorney client relationship is created here.

Businesses do not file chapter 13. Businesses can file chapter 7 liquidation, or chapter 11 reorganization

If your intent is to stay in business, then you would look to chapter 11

Otherwise, if you file a personal bankruptcy, you can include debts you guaranteed as well.

The business would still be liable for any unpaid portion though if you just file individual bankruptcy.

Sole proprietor vs LLC really doesn't come into play if you are looking to stay in business.

ch13 will not help you with that, only chapter 11.

do you have any questions?

one moment

11 USC 109(e) Only an individual with regular income that owes, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts of less than $250,000 and noncontingent, liquidated, secured debts of less than $750,000, or an individual with regular income and such individual’s spouse, except a stockbroker or a commodity broker, that owe, on the date of the filing of the petition, noncontingent, liquidated, unsecured debts that aggregate less than $250,000 and noncontingent, liquidated, secured debts of less than $750,000 may be a debtor under chapter 13 of this title.

since a business is not an individual, it cannot file chapter 13.

Only chapter 7 or chapter 11 is available.

if you file as an individual for chapter 13, you can include business debts that you have guaranteed.

yes, but the creditors will close the accounts, and won't let them continue operation using those accounts and vendors

So, if the goal is to stay in business and reorganize the debt, a chapter 13 won't work

The accounts will be closed, and the debts would be paid thru the chapter 13.

Any portion not paid thru the bankruptcy case (many are only paid 10% and up) would remain the business liability if the business was seeking to stay open.

so, you can file a personal chapter 13

You can include all debts you have guaranteed.

For mortgage arrears, you would have to pay them 100% thru the case.

showing the court you can afford the mortgage, and the bankruptcy payment in addition to all of your normal monthly expenses.

not during the case if you are paying them back, they cannot pursue cosigners without approval from the court.

no

only residence is allowd.

can't strip on non-residence.

nope

cramdowns are only for non-real estate property that is secured (cars, furniture etc)

meaning you have to pay the business mortgage if you are looking to stay in business, yes

The ownership interest of the business is an asset

You would pay all mortgage arrears thru the case, there is no cramdown or stripping of non-residential property in ch13

i don't understand your question

I would recommend ch11 based on what you are telling me, not chapter 13.

You may have more options with chapter 11 on reorganizing the debt

and restructuring the secured loans. You'll have to talk to a local chapter 11 attorney to get specific information

I hear ya

much of the fee may be able to be rolled into the case though

do you have any other bankruptcy questions?

All assets are listed in a chapter 13.

if you have signed personally for the asset purchase as well as for the business, it is properly listed.

Your interest in the business assets are also an asset that would be listed on schedules A & B too, so that would properly be listed in any bankruptcy filing. let me know if you have any other questions. Thanks and good luck.