Subchapter V Bankruptcy for Restaurants
Back rent, vendor balances, and equipment loans piling up? Subchapter V lets your restaurant reorganize debt and keep serving customers.
Restaurants
Philadelphia & South Jersey
Chapter 11 Subchapter V Bankruptcy Lawyer
Subchapter V is a streamlined version of Chapter 11, created by Congress for small businesses that need to reorganize without the cost and complexity of a full Chapter 11 case. The owner keeps running the company as debtor in possession, and the debt is restructured under a court-approved plan that usually runs three to five years.
Reorganize and stay open
Subchapter V is a faster, lower-cost version of Chapter 11 built for small businesses, keeping the owner in control while debt is restructured.
What Subchapter V offers
- Stay open while you reorganize
- No creditors' committee required
- Faster and lower-cost than traditional Chapter 11
- The owner stays in control of the business
Good to know
- You stay in control as the debtor in possession
- Plans typically run 3 to 5 years
- Built for smaller companies, not large corporations
- We prepare and shepherd the court-approved plan
Industries we serve
Subchapter V Bankruptcy for Contractors
Unpaid invoices and equipment loans choking your cash flow? Subchapter V lets contractors restructure debt, keep their crew, and finish the job.
Construction
Subchapter V Bankruptcy for Trucking Companies
Truck payments, fuel costs, and factoring advances stacking up? Subchapter V lets trucking companies reorganize debt and keep rolling.
Trucking
Subchapter V Bankruptcy for Medical and Dental Practices
Equipment leases and practice loans squeezing your margins? Subchapter V lets medical and dental practices reorganize debt and keep treating patients.
Medical & Dental
Subchapter V Bankruptcy for Retail and E-commerce
Inventory loans, lease arrears, and merchant cash advances draining your sales? Subchapter V lets your store reorganize debt and keep selling.
Retail & E-commerce
Subchapter V Bankruptcy for Auto Repair and Body Shops
Equipment loans and parts accounts piling up at your shop? Subchapter V lets auto repair and body shops reorganize debt and keep the bays full.
Auto Repair
Subchapter V Bankruptcy for Salons and Spas
Lease and equipment debt outgrowing your bookings? Subchapter V lets salons, spas, and barbershops reorganize debt and keep their chairs full.
Salons & Spas
Subchapter V Bankruptcy for Gyms and Fitness Studios
Long lease and a floor of financed equipment dragging you down? Subchapter V lets gyms and studios reorganize debt and keep the doors open.
Gyms & Fitness
Subchapter V Bankruptcy for Franchisees
Royalty arrears, back rent, and a franchise agreement in default? Subchapter V restructures the debt while you keep operating, and the agreement is not automatically lost.
Franchise ownersCommon questions about Chapter 11 Subchapter V
Can I keep running my business?
Yes. You stay in control as the debtor in possession and keep operating while you reorganize.
Does my business qualify?
Subchapter V is built for smaller businesses under the current debt limit. We will review your numbers and tell you whether it fits.
How long does it take?
The plan is generally due within about 90 days of filing, and repayment usually runs 3 to 5 years.
Is it cheaper than a traditional Chapter 11?
Yes. Subchapter V skips the creditors' committee (a group of creditors hired at your expense) and the quarterly trustee fees of a regular Chapter 11, which makes it faster and lower-cost.