Bankruptcy Law Questions? Ask a Bankruptcy Lawyer Now.
You can file for Chapter 11 to restructure the debt or you can file for Chapter 7 to dissolve the business and start a fresh company. Technically, there is no discharge of debts for a business Chapter 7. However, if you did not personally guarantee the debt in question, successful completion of Chapter 7 means that the creditors will have no reason to come after you. The assets of the company have been liquidated and distributed to all creditors by the Chapter 7 Trustee. For more information, click on the link below:
The State cannot refuse to renew your license based on the bankruptcy filing. See 11 U.S.C. Section 525:
Kindly give a positive rating to my post so that I can receive credit for answering your question—so that part of the deposit that you already paid to the site can be transferred to me. You are not charged extra for doing this.
Thank you for your cooperation.