Small Business Debt Relief – Options and Opportunities to Eliminate Your Unsecured Debt

Although the recent recession has hit the population as a whole, but no one has been hit as hard as the small business owner. What once was a steady flow of customers may now have slowed to a trickle or worse. If you have already closed up shop, you may have been left with astounding amounts of unsecured loans. However, there are some options available for small business debt relief.

The first option you may need to consider, if your business is still up and running, is a small business grant. There are grants available to most every industry. This is money that does not have to be paid back and can be used to completely eliminate your unsecured debts. These do take sometime to apply for as well as receive. They will also have minimum qualifications to be considered. Also, government-back small business loans can be an opportunity to turn your unsecured debt into secured debt. These usually have a deferred repayment program as well as lower interest rates.

There are also several debt settlement companies that are specifically designed to aid small businesses. These companies will work with your creditors to reduce your debt, develop a repayment plan and possibly even save your business’ credit in the process. They are trained professionals who know each and every possible situation that may arise and can guide you through with the least amount of damage to your company’s credit rating, allowing for small business debt relief.

Although bankruptcy should only be used as a last resort, depending on your situation, you might need to consider Chapter 11 bankruptcy as an option. This will allow for you to “reorganize” unsecured debts as well as develop a repayment plan that will work with your company’s monthly income. However, you will have to have enough “qualifying debts” in order be able to file for bankruptcy. Also, this may be a lengthy process for some.

These are just your basic options for you small business debt relief plan. There are many more available that are only a few clicks away.

Source by Brandon Frazier