The key to making the most of Florida bankruptcy law is to develop a plan that will allow a debtor to resolve debts by dividing assets among creditors. The purpose of this division of assets is to allow creditors to be treated with some measure of equality under bankruptcy law. Florida bankruptcy proceedings may allow a debtor's business to remain open and use its revenue to resolve the debts.

A bankruptcy in Florida may also allow some debtors to be discharged from their financial obligations after their assets have been distributed, even if not all of the debts have paid. Bankruptcy is addressed in the following chapters of Title 11 of the United States Code:

1. Chapter 7 filings are called liquidation. This is the most common type of FL business bankruptcy and involves the sale of non-exempt property and distribution of the proceeds among the creditors.
2. Chapter 11 filings are called reorganization. This involves the debtor to be rehabilitated so they may use future earnings to repay creditors.
3. Chapter 12 filings involve the adjustment of the debts of a family farmer with a regular annual income
4. Chapter 13 filings are the adjustment of debts for an individual with a regular income.
   

Action Steps
The best contacts and resources to help you get it done

Make the most of FL bankruptcy laws by keeping up with legislation changes

Federal bankruptcy laws changed dramatically in 2005 and bankruptcy filings now are much more difficult. The debtor must also attend credit counseling and take a means test.

I recommend: The United States Bankruptcy Court Middle District of Florida has links to a variety of bankruptcy laws including the Bankruptcy Reform Act. Get extensive legal analyses of the United States bankruptcy code by chapter at U.S. Courts.

Choose the type of business bankruptcy in Florida you wish to file

The best type of bankruptcy can be a complex decision involving many different factors. There are several websites that provide information that will assist you in this important decision-making process.

I recommend: Florida Bankruptcy Legal Summaries provides an overview of the different types of bankruptcy filings and offers informative bankruptcy resources. Access a variety of articles on bankruptcy to help you select the best type of filing for your business situation at Bankruptcy 411.

Select a Florida bankruptcy attorney to help you through the process

Bankruptcy lawyers in Florida can help you understand the often complex laws regarding bankruptcy filings. Many of these attorneys also provide summaries of these laws on their websites.

I recommend: Brian O'Sullivan, Attorney at Law provides specific information on Florida bankrupcy laws and also has additional articles on bankruptcy. Learn how bankruptcy attorneys can benefit your business at Ruff and Cohen, a law firm that features an online bankruptcy FAQ and links to many resources on bankruptcy law.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  A Chapter 7 filing doesn't require the filer to repay any of the debt, making it the most popular type of bankruptcy. Florida homeowners may be better off with a Chapter 13 bankruptcy if they are behind on their mortgage payments, but still want to keep their house. In this case, they would include the debt from the mortgage in the Chapter 13 plan and repay it over time.

No one in Florida has every started a business with bankruptcy in his or her thoughts, but there comes a time when many business owners are forced to research Florida bankruptcy laws.

If your business resides in the state of Florida, you have something to be thankful for in your difficult times. While the bankruptcy proceedings won’t be pleasant, they will be more pleasurable filing for bankruptcy in Florida than anywhere else because there is a favorable bankruptcy law. Florida gives you more exemptions than many other states.

Before filing for bankruptcy in Florida, keep in mind the following:

1. Have a plan for life after bankruptcy. Florida gives you a head start because it allows you to keep your home. It can be easy to look at your current situation as an end, and in many ways it is, but also view it as a new beginning.
2. Have a good understanding of all that Florida bankruptcy laws entail and know how they will affect your life, from your credit rating to your ability to start a new business.
3. Know what brought you to this point. Learn form the situation for your next business endeavors.

Action Steps
The best contacts and resources to help you get it done

Understand the process of business bankruptcy in Florida

It's important to understand Florida bankruptcy law, which changed dramatically in 2005 with the changing of the federal bankruptcy laws. The new laws made filing for bankruptcy much more expensive and tedious. Now when applying for bankruptcy in Florida, the debtor must go through credit counseling and a means test.

I recommend: FloridaBankruptcyLaws.com gives a Florida bankruptcy guide that details and explains the new Florida bankruptcy laws and the changes that were made. The government offers an online manual that lists all the bankruptcy forms that you need to file.

Find a good Florida bankruptcy attorney when filing for bankruptcy

Like it or not, a good lawyer is absolutely necessary when filing for bankruptcy, particularly when you have a business involved. The more assets you have, the more complicated your filing may be, and you want a good attorney to make navigating Florida business bankruptcy law as smooth as possible.

I recommend: Florida Lawyer Directory offers a listing of Florida bankruptcy attorneys throughout the state. It’s a great place to start on your search.

Know the exemptions you have under Florida bankruptcy law

It is important to understand what you can and cannot protect from creditors. This varies under different bankruptcy laws, but Florida has one of the most generous homestead exemption laws of any of the states. Also income such as alimony, child support, and certain pensions are exempt as well.

I recommend: Visit Florida Bankruptcy Laws' exemptions page. It covers all exemptions available under Florida bankruptcy law and explains the assets you can exempt.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Gather and fill out all of your paperwork early in the process. You don't want the proceeding held up because you haven't filled out the necessary paperwork.
• •  Stay organized. Bankruptcy proceedings require a lot of paperwork, from the necessary government forms to your own records covering your income, assets and your tax forms.

Filing for protection under Florida business bankruptcy law is a last resort for businesses that have too much debt. While this situation isn't ideal for any business, sometimes it is the only way the business can continue to operate.

Anytime you must consider filing for bankruptcy, it is important to give yourself a basic Florida bankruptcy law education and training course. Consider the following points when you consider filing for protection:

1. Take a seminar to help you understand Florida bankruptcy law basics.

2. Find out about the types of protection offered under Florida bankruptcy law.

3. Know the basic procedures for filing bankruptcy in Florida.

4. Protect your business assets when filing for Florida bankruptcy help.

Action Steps
The best contacts and resources to help you get it done

Participate in a seminar to learn Florida bankruptcy laws

Seminars are a way that you can learn valuable information about filing for bankruptcy in Florida. Licensed Florida bankruptcy attorneys teach these courses. Some are available online. If you opt for an online only course, make sure that the price includes live help, just in case you discover that you need a question pertaining to a specific Florida bankruptcy law answered.

I recommend: The Florida Bar offers online webinars for anyone interested in filing for bankruptcy. Each one offers a different view of the policies and procedures of filing. While these are geared toward legal professionals, they are beneficial for anyone. Lorman Education offers online and on site Florida bankruptcy law seminars. The program is offered by a group of established Florida attorneys.

Decide on the type of business bankruptcy in Florida you need to file

Determining the Florida bankruptcy law under which to file bankruptcy can be just as stressful as the actual filing process. Chapter 12 bankruptcy is meant for fisheries and farms. Chapter 9 bankruptcy is for municipalities. Chapter 11 bankruptcy is referred to as the reorganization law. Chapters 7 and 13 are for individuals, but certain businesses may qualify to file under these Florida bankruptcy laws.

I recommend: BankruptcyLawFirms.com offers in depth information about the different types of bankruptcy Florida laws. This website also offers guides that explain bankruptcy alternatives. FloridaBankruptcyLawers.com has a glossary of terms which allow you to fully understand the terms in the bankruptcy paperwork for your business. This website offers numerous articles to help you decide what chapter of bankruptcy is the most appropriate one for your business.

Understand FL business bankruptcy procedures

Under Florida bankruptcy laws, there are some minor differences for business filings than those for personal filings. Some businesses may opt to file for protection under Florida business bankruptcy law. Filing with the help of an attorney is usually easier than filing pro se, or on your own. In either case, understanding the procedures of bankruptcy filing will enable you to make the best decisions about your case.

I recommend: United States Bankruptcy Court North District of Florida offers information for businesses and individuals who want to file for protection under FL bankruptcy laws. Cornell University Law School offers an updated procedure guide for filing for bankruptcy under Federal guidelines. Large businesses may find that filing under Federal laws instead of filing under FL business bankruptcy laws.

Understand asset protection laws available under Florida bankruptcy laws

Many business owners are worried about losing their assets when they file under a bankruptcy law. Florida has incorporated asset protection measures into their bankruptcy laws. These laws can protect a Florida based conglomerate, as well as a small Florida LLC. For example, business property is joint property, even if only one spouse technically owns the business. This means that if the spouse who doesn't own the business by law files for bankruptcy, the business property must be on the paperwork. That is, unless the business owner checks the box on the business property title or deed that stipulates single entity ownership.

I recommend: Alper Law offers detailed information about asset protection for Florida businesses seeking relief under FL bankruptcy laws. Florida Asset Protection Blog offers information on coping with various scenarios you may come across when filing business bankruptcy in Florida.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Schedule a consultation with a Florida bankruptcy attorney prior to filing for protection. Many attorneys offer free consultations. Take a pen and paper to write down what the attorney says he will do for you. Then, should you decide to file pro se, you have a basic guideline to follow.