Chapter 11 process

Chapter 11 is a legal process where a financially struggling business seeks court protection to reorganize its debts while continuing to operate. It allows the company to create a plan to pay creditors over time, renegotiate obligations, and improve its financial health. This process gives the business a chance to stabilize without immediate liquidation, involving court oversight to ensure fair treatment of creditors and support for the company’s recovery efforts. Overall, Chapter 11 aims to help a struggling business recover and emerge stronger while managing its debts responsibly.