In Florida, filing for Chapter 11 customarily begins with the development of a plan for reorganization and repayment of all debts. Once Chapter 11 filing has commenced, all collection activities are brought to a halt, allowing the debtor time to breathe, assess the situation, and determine how to proceed -- all with the guidance of their legal adviser.
After the repayment and reorganization plan is developed taking into account the needs of the debtor and the creditors a trustee is customarily appointed. It is the role of the trustee to make sure that all of the assets are properly managed, all of the priority claims are paid on time, and that the reorganization proceeds according to the law. Occasionally the trustee will take control of all of the assets, depending on the abilities of the debtors.
The Chapter 11 bankruptcy process may last for years -- as long as it takes for all of the debts to be discharged. During this time, the emphasis is dual: to pay off or pay down debt and ensure that the business again becomes profitable.
Filing for Chapter 11 bankruptcy in Florida is a major undertaking and needs to be done under the guidance and assistance of a knowledgeable attorney. Mr. Compo is such an attorney, having walked many of his clients through the process, and he is ready and available to help you, as well.