The Cost of a Business Bankruptcy Attorney

The law on bankruptcy intends to help debtors settle their obligations to their creditors by either managing or liquidating the business. When a firm files for bankruptcy, the court assists them in paying their debts. Hence, during a bankruptcy procedure, all the financial activities of the debtor are under scrutiny by the court. The debts can be paid either by straight liquidation of the firm’s assets or a plan for reorganization to enable the firm to keep on operating while the debts are being paid. The hourly rate for bankruptcy lawyers varies from $100 to $300 an hour. Some lawyers will ask for an advance payment depending on their estimate of how long it will take them to study the case. Others will settle for staggered payments. An attorney could charge from $1,000 to $3,000 for liquidation bankruptcy but could go as high as $3,500 to $5,000 for more complicated …

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