Legal expertise from James S. Lamontagne, Esq. of Sheehan Phinney
Businesses facing financial distress with lenders, landlords or vendors have options other than closing their doors.
Two options for businesses to consider are forbearance agreements and the Subchapter V bankruptcy process, which is a streamlined, less expensive and more efficient bankruptcy process for smaller businesses.
Forbearance agreements
It is critical for financially distressed businesses to communicate with their lenders, landlords and vendors if an out-of-court restructuring is to take place.
One form of such a restructuring is a forbearance agreement. Forbearance agreements (FA) are agreements between a debtor (the business) and creditor (l…
Read the full article at: https://www.nhbr.com/is-your-business-in-financial-distress-there-are-options/