Atlanta Bankruptcy Attorneys Clark & Washington Discuss How Personal Bankruptcy Can Affect Your Small Business

    ATLANTA, GA, April 15, 2015 /24-7PressRelease/ -- The Atlanta bankruptcy lawyers, Clark & Washington, note how filing for personal bankruptcy can affect a person's small business interests. In struggling times, many business owners have been forced to discharge their individual debts as a way to keep their company doors open. However, doing so is not without its consequences as bankruptcy petitions can have a significant impact on one's commercial assets.

How Business Owners Should File for Bankruptcy in Atlanta

The main factor that determines whether business possessions will be affected by a person's decision to file Chapter 7 or 13 bankruptcy is how the company is structured. The bankruptcy attorneys in Atlanta would like to stress the difference between these types.

Legally speaking, there is no distinction between personal and commercial interests for sole proprietors. The individual is the entity so to speak, so any and all assets that the court orders worthy of discharging the debt are open for seizure, and this includes business assets.

On the other hand, corporations and LLCs are structured wholly separately from the individual owner, meaning they exist independently and are not legally obligated to discharge any personal debts that have been accrued. There are a few state exceptions with respect to closely held corporations, which is why speaking with one of the licensed Atlanta bankruptcy attorneys at Clark & Washington is essential.

Chapter 7 bankruptcies, or those that are used to fully discharge debt, may have an affect on corporate entities, but this is rarely the case with Chapter 13 filings.

For more information on what type of bankruptcy you should file to safeguard your business interests, feel free to visit http://www.cw13.com.

About Clark & Washington:

Established in 1983, Clark & Washington is now one of the leading bankruptcy filers in the Southeast. They have locations in Georgia, Florida and Tennessee. Clark & Washington specializes in personal Chapter 7 and 13 bankruptcy. They offer honest, helpful legal advice to those experiencing financial hardships.

For more information, visit http://www.cw13.com.

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