Bankruptcy laws: Implication for entrepreneurs, creditors
Not what you're looking for?
Do you believe that the laws should be changed to make it easier for the entrepreneurs to go into, and recover from bankruptcy? Why or why not?
What are the implications of your answer for the entrepreneurs, creditors, and the national economy?
Purchase this Solution
Solution Summary
The 600 word solution provides a detailed response to each question together with explanation and examples.
Solution Preview
Do you believe that the laws should be changed to make it easier for the entrepreneurs to go into, and recover from bankruptcy? Why or why not?
The laws relating to bankruptcy are complex and vary by state because there is an option to file under federal or state law, but the overriding concept in both is that an individual filing under Chapter 7 (liquidation) or Chapter 13 (workout plan) should not lose all their assets.
Generally, an individual can retain his/her home, car and tools (subject to certain equity limits). That says to me that the individual can start over again with limited resources, but not having been stripped clean of all assets. That limitation provides that all business assets or other investments will be used to retire debts in bankruptcy, and that seems fair to me. In the Chapter 13, the workout arrangement often involves payments for five years (with ...
Purchase this Solution
Free BrainMass Quizzes
Motivation
This tests some key elements of major motivation theories.
Basic Social Media Concepts
The quiz will test your knowledge on basic social media concepts.
Marketing Research and Forecasting
The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Writing Business Plans
This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.