When a business is losing money and is facing increasing amounts of debt that it is unable to pay off, a business workout or turnaround can often help the business meet its obligations and continue to grow.

Business workouts can succeed in cases where small and medium-sized businesses are trying to prevent those businesses and their owners from having to file for Chapter 11 bankruptcies.

Eric and Roddy Lanigan help companies explore their options, avoid Chapter 11 bankruptcy and restructure debt through responsible and effective business workouts.

With the current U.S. economy in such a fragile state, it can be difficult for businesses to obtain loans and other lines of credit that they may rely upon to meet their business needs. Consulting with Lanigan and Lanigan, P.L., companies can be presented with options and plans to save a business with turnarounds that will allow the doors to remain open.

Understanding Business Workouts
In a business workout, company management revamps a new business plan for creditors that will demonstrate debt restructure which is reasonable and that the company can then afford and which meets debt payment requirements.

Businesses have to work out satisfactory arrangements in accordance and with creditor needs. Creditors may agree to these arrangements in order to gain more on the investment than they would if the businesses in debt were to instead liquidate.

Lanigan & Lanigan, P.L., will help businesses negotiate with creditors to reach arrangements and further advise on making the right choices when drafting a new business plan. Eric and Roddy Lanigan provide feedback on preparing for possible future issues and will aide in devising better business strategy to demonstrate to creditors you’re serious about paying off debt and becoming a successful business entity.

Creditor demands keep businesses from resolving financial challenges which comes from a lack of liquidity or inability to generate cash flow. Clients begin having difficulty juggling daily business with creditor requests. As these businesses and professionals’ cash dries up, so does the ability to keep creditors content.  Once liquidity becomes an issue, clients don’t have the time or know-how to work with creditors to restructure the debt into a more manageable plan and concurrently run their businesses.

Lanigan and Lanigan, P.L., begins Business Workouts for clients by:

• Analyzing client debt
• type
• amount
• urgency
• unseen issues
• Analyze client financial standing
• assets
• cash
• investments
• Clients meet business financial obligations while negotiations with creditors begin to restructure debt to help run the business more effectively

The goal is to resume business with new tactics in strategy to prove profitability as a business entity fully managing and balancing debt with goals that clearly demonstrate a different profile.

Lanigan and Lanigan, P.L., will investigate options for individuals with businesses struggling in current economic structures. They will assist you in showing creditors that the company has an overhauled business plan and one that will maintain the health of the business long term. Find out what you could do differently and whether a business workout can save you from Chapter 11 bankruptcy.