Chapters 11 and 13

Chapter 11 allows a business to reorganize its debts and continue operating, like a financial reset, giving it time to pay creditors while remaining in business. It’s often used by companies facing financial difficulties but with a viable future. Chapter 13, on the other hand, is a personal bankruptcy option that enables individuals to keep their property while repaying debts over three to five years through a court-approved plan. Both chapters aim to provide structured solutions for debt relief, helping debtors regain financial stability while meeting their obligations.