Talkov Law View Entire Blog

Chapter 11 Small Business Bankruptcy Attorney in Riverside

Beginning February 19, 2020, the Bankruptcy Code has special provisions for a Chapter 11 proceeding filed by a “small business debtor” as a result of the Small Business Reorganization Act of 2019 (SBRA). A small business debtor is defined as a person or entity who: (1) is engaged in business or other commercial activities; and (2) owes no more than $2,725,625 as of April 1, 2019 in total noncontingent liquidated secured and unsecured debts. There a several favorable provisions intended to streamline the Chapter 11 process for small business debtors in the Inland Empire and Southern California under Subchapter V (Subchapter 5).