Business Bankruptcy Declining: How to Stay out of the Statistics

February 26, 2013

The year 2007 is one to remember as the start to one of our history’s worst periods for businesses. In the USA alone at least one company went bankrupt each day once the subprime mortgage crisis hit. Numerous companies are still affected by six years ago, but according to a recent study by the American Bankruptcy Institute the number of businesses facing bankruptcy is dwindling for the first time in years. Commercial bankruptcies are down by 22% for the first 9 months of 2012 compared to 2011. The hope is 2013 will continue in this vain. These are favorable statistics, but it does not mean companies are sailing smoothly now. There are still quite a few with tough decisions to make.

Before you give up completely consider Rochester consulting through Rizzo DiGiacco Hern and Baniewicz. Our firm offers Rochester accounting and tax planning help for businesses. We are not bankruptcy attorneys; however, we do offer financial assistance to help you get more deductions from your taxes and financial assistance services to help you gain loans from banks. As accountants and financial advisors we can help you determine the best course of action for your current position.

Cutting losses can be an option depending on your current financial state; however, with bankruptcy laws changing a few years ago for individuals and companies it is important to weigh your options before giving in. Experts are trained to look into your financial position through Rochester consulting practices. Using a formula, our expert consultants are able to determine your financial strengths and weaknesses to determine risk and the probability that bankruptcy is the better choice. It is a difficult subject to even broach, but often we have found a business is not as bad off as it looks when little tweaks are made to return the cash flow.

You may have other options such as selling a share of the business to an investor. If you do have an investor interested in keeping you on as manager but helping your financial position, our Rochester consulting team can look into their position to see if this is your best move.

Our firm is not about Rochester taxes as a sole line of services. We have numerous services from financial assistance to retirement planning. If an influx of cash from a bank loan would help you get over the hardest time and prove to be a profitable choice for your company over bankruptcy, our team can help you find a bank willing to lend money.

The main point to take away from all this is that until you ask an expert you may be worrying about nothing. Looking at a sliding scale with no money or little money coming in can look bleak, especially when you see all the expenses. Yet, there may be some hidden assets your Rochester consulting team can find and get you back on your feet. Perhaps a little reorganization and a new business plan is what you need for success.

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RDG+Partners wants to be the primary advisor for motivated business owners. The firm is committed to providing boutique level accounting, tax and business consulting services to the Rochester, NY community.