Unfortunately, Louisiana businesses sometimes do not perform as well as owners anticipate. When a company fails to bring in profit, owners may amass significant debt. One way to handle the debt is to file Chapter 11 bankruptcy. Gander Mountain, a nationwide outdoor recreation retailer, recently made the decision to file.
With Chapter 11 bankruptcy, business owners are given the opportunity to reorganize their business financially while paying off the debts owed. With this form of bankruptcy, owners remain in control of the company and can keep their doors open to continue servicing customers throughout the completion of the bankruptcy. Another positive aspect of Chapter 11 is that an automatic stay is put into place, which protects owners from collection activities by creditors.
In spite of being in business for 57 years, Gander Mountain owners have decided it is time to transition rather than continue on in the same fashion. They officially filed for bankruptcy in March. Representatives from the company stated that all 126 stores across the country will be closing after liquidation sales are completed. As of May, the company was acquired by Camping World Holdings, Inc.
Whether owners decide to keep their businesses open or not, filing for Chapter 11 bankruptcy could still be beneficial in solving debt problems. Any Louisiana residents interested in learning more about the advantages of Chapter 11 could speak with experienced bankruptcy attorneys for more information. Attorneys could evaluate individual situations to determine the best course of action for each business as well as provide valuable support and advice to clients.
Source: wral.com, "Gander Mountain files bankruptcy, closing all locations", May 6, 2017