Small Business Corporations and LLCs in Minnesota

Talk to Us Today Before You Take Action

Filing bankruptcy when you own a small business can be difficult. You are not only losing your business, you may also be putting your personal assets at risk. This is the time for an experienced bankruptcy lawyer's guidance.

You can rely on the experienced attorneys at Prescott Pearson & Tande, PA We have dedicated our careers to helping small businesses and individuals get through bankruptcy in a way that prepares them for a brighter future.

Your Goals Help Determine Our Strategy

Business bankruptcy has different consequences, depending on the type of business involved. The more closely related the person and the business are, as with sole proprietorships, the more difficult it is to separate the personal and business debts and assets in bankruptcy. If you have a small business or LLC, you can be liable for its debts because you may have personally guaranteed the business and/or are the primary debtor.

When a business owner is not as closely related to the business, it is easier to sell off the company. For example, the more equipment or other tangible assets the company has, the easier it is for the trustee to find value in the business and to sell off the debtor's interest in the company over its exempt value. Conversely, you cannot sell off a person if he or she is the business's only asset.

When an LLC files bankruptcy, we must determine what value it has. At Prescott Pearson & Tande, PA, we perform a simple valuation using the value of the assets minus the debts. An LLC is a separate entity, and we will determine whether we can protect it during bankruptcy. In some cases, bankruptcy is not the right choice. We will discuss your goals and develop a strategy based on achieving them.

If your goal is to have the business survive bankruptcy, we will work to make that possible. If the business is not going to survive, we recommend listing all of the LLC's debt to ensure that you cannot be sued in the future for any remaining debt.

"This Is All We Do, and We Do It Well."

Call for a Free Consultation Today

  • Minneapolis-St. Paul Area: 651-968-8096
  • Minnesota Toll Free: 888-366-0827

Please call us at the numbers above or contact us online to schedule a consultation.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.