Business Debt Questions
New York City Business Debt Attorneys
We know how difficult it can to get the facts straight regarding business
loans and other debts. That is why we've created this library of frequently
asked business debt questions. Check back for regular updates. If there
are other questions that you would like to see answered below, let us
know. Please keep in mind that the information is not legal advice, and
it's applicability is limited to business debts in New York.
Interesting in reducing, restructuring, or settling a business loan?
Speak to a Business Debt Relief Lawyer
Or Call (888) 301-0584 for a Free Case Review
Are lawyers able to
settle merchant cash advance? Business debt relief options are analyzed on an individualized case-by-case
basis. While our lawyers have been successful in restructuing business
debts and negotiating reductions to merchant cash advance, we don't
know what will be available until we start communicating with the lender
or their business debt collectors. The likelihood of a resolution being
reached oftentimes increases in situations where the business is on the
brink of insolvency, and the financial hardship can be made apparant.
can a business loan be reduced?
Although we've achieved savings for business loans as high as 85% off,
the results vary. From time to time, we share highlights of certain results
and achievements. Those example results show what we were able to achieve
under that client's particular situation and timing. Prior results
are truly not indicative of future performance. Our team will use their
skills and experience to act strategically when conducting
business loan negotiations, so as to maximize the potential results for each and every client.
help businesses outside of New York?
Yes, our business consulting team assists business owners with non-legal
services, both inside and outside of New York. It is important to understand
this distinction. Our lawyers are licensed to practice law only in the
states of New York and/or New Jersey.
As such, we do not provide legal consultations, legal advice, or any legal
services outside of NY & NJ. Every aspect of our business debt negotiations program is limited to services
which are non-legal of nature. For the same reason, the program is limited
to debts which are not in litigation status, and any debts that enter
litigation status while in the program will be promptly unenrolled. However,
separate and apart from consulting services offered in relation to business
debt reduction, our law firm does provide defense from lawsuits brought
for business loans and merchant cash advance in New York. Legal representation
and/or assistance with litigation is subject to a separate contract and
discussions with an Attorney, and such assistance is not made in connection
with our business reduction consulting services.
What is a personal guarantee? This is a document which makes the business owner or officer liable to
repay the business debt in the event of default. The guarantor can be
subject to personal collection, a lawsuit, and their assets may be subject
to seizure if a judgment is obtained against them.
Are there lawyers to
reduce business debt?
Our lawyers are skilled in navigating the resolution options available
given the type of debt at hand. If the business has hardship, many business
debts can be reduced in a settlement through careful negotiations. For
the business debts that cannot be reduced, many times they can be restructured
so that the payment are lower and more affordable to the borrower.
Are there options to
fight a business loan lawsuit?
When faced with legal action, an experienced
business loan lawsuit defense lawyer can make sure that a comprehensive response is submitted timely, to ensure
that your defenses are well-stated, and to protect you from a court judgment.
As with any lawsuit for breach of contract, if the Plaintiff's evidence
is sufficient, the borrower may wish to engage in negotiations to settle
the business loan lawsuit.
What are the differences between consumer debt and business debts? Most consumer credit cards will not review the account for legal action
until after the debt is charged-off, which is typically at least 6-months
from the date of the last timely payment. With business loans, vendor
debts, or debts owed on a
business cash advance, the lender may choose to litigate much sooner. And in situations where
the business debt has a personal guarantee, the lender may pursue recovery
in court against both the business and the guarantor.
Can I avoid filing
bankruptcy for business debts? By restructuring the business loans, or settling the business debt, one
might be able to avoid filing for bankruptcy. A common misconception is
that by filing for bankruptcy on the business, the borrower will be discharged
of the liabilities on the business debts, and can therefore avoid filing
personal bankruptcy. However, many times, the opposite is true. In a situation
where the business is insolvent, lacks assets, and/or is otherwise closed,
and the business debts are personally guaranteed, it may be more important
for the borrower to focus on addressing their personal liability, whether
by settling, restructuring, or seeking a discharge by filing for personal
Business Debt Negotiation. The first steps to determining whether the terms to a commercial debt
can be negotiated, you'd need to determine the classification of the
debt and it's current status. Furthermore, understanding whether you
are obligated under a personal guarantee, and the ramifications of such
a liability, are important to determining the best course of action to
What are my options to
negotiate business loan reductions? As with any debt, the creditor may be open to accepting repayment under
an modified payment arrangement, or even reducing the loans in a settlement
if they have reason to believe that they will have difficulty recovering
the full balance. As a general rule, a business loan must be in default
before starting the negotiations. It's important to negotiate a resolution
sooner rather then later, otherwise the business creditor may elect to
bring a business loan lawsuit.
Are there any
tips to avoid business insolvency? Insolvency is every business owner's worst nightmare. Staying solvent
should be the top priority! By making regular payments on all commercial
obligations, keeping unecessary spending at a minimum, and making an overall
financial plan, a business will be geared for success. If fiscal conditions
turn for the worst, notifying your lender early on might help avail you
to temporary deferment and reduced payment options.
Effective Legal Representation For New York Business Debts
At the Law Office of Simon Goldenberg PLLC, our lawyers have studied the
nuances of debt laws so that we can provide business owners a comprehensive
set of resolution options. Whether you're seeking
business debt defense, cash advance settlement, or you want to fight a lawsuit brought by a
business vendor, our New York City attorneys can provide you with competent
representation and help navigate the process.
Call Our Business Debt Relief Lawyers - (888) 301-0584
Get in touch with us today to schedule your complimentary initial
case consultation with our experienced business debt attorneys in New York City.
Serving Brooklyn, Queens, Bronx, Staten Island, Long Island, and the entire
New York State. Call the Law Office of Simon Goldenberg, PLLC today!