There are a few different reasons to file for Chapter 13. Probably the first one is if you are not qualifying for the Chapter 7.
Jan. 12, 2023
Minnesota Business Owner Looks for “Fresh Start” with Chapter 7 Filing
At the Atlas Law Firm, we specialize in providing Minnesota bankruptcy information to a variety of clients and have much experience handling the unique needs of entrepreneurs and business owners.
On February 27, the Star-Tribune published a piece on Brian Winges, a 48-year-old entrepreneur who ran several senior care facilities in Minnesota and who recently filed for Chapter 7 bankruptcy. The 205-page filing, which was made on February 14, is part of a plan by Winges to achieve financial security and ensure that all of his past business debts and personal liabilities are discharged.
“He's looking to get a fresh start and a discharge from his creditors,” Winges' Minnesota bankruptcy lawyer told the news source.
Winges' attorney further told the newspaper that this type of protective filing is a common practice for business owners in Winges' situation, as a personal bankruptcy can eradicate all of the debt that someone has accrued when done correctly. If successful, Winges will be freed from liabilities stemming from a variety of past business ventures including Suite Living LLC, Community Living Partnerships Management LLC, TOTI Holdings LLC and Comforts of Home Care LLC.
According to the source, Winges began his foray into the senior care market in the late 1990s, with operations that were based in Wisconsin and Minnesota. In 2010, these facilities were rebranded under the Suite Living moniker, and the company switched its advertising to appeal to those who needed specialized care due to Parkinson's and Alzheimer's.
Among the more than 200 creditors that Winges is seeking protection from are JSSH Architects and Frisbie Architects, companies that worked to develop and design new senior home locations for Winges' operations. JSSH Architects claims it is owed more than $100,000 by Winges, the report noted.
If you're looking to free yourself from past business debts, you can turn to Minneapolis bankruptcy law firms that can allow you to explore your options. At the Atlas Law Firm, we specialize in providing Minnesota bankruptcy information to a variety of clients and have much experience handling the unique needs of entrepreneurs and business owners.
The three common triggers for bankruptcy are unemployment, medical expenses, and divorce. Unemployment can trigger bankruptcy, which is pretty straightforward.
The trustee has a duty to conduct due diligence, and that basically means reviewing the documents that are filed by the debtor and then holding a hearing called a Section 341 hearing in which the trustee asks some standard questions of the debtor.