Many small businesses in Texas end up falling on hard financial times. Although some of these businesses are able to revamp their marketing tactics, delve into new markets, and expand into new product lines, others are unsuccessful in their efforts to do so. The businesses that fall into this latter category often need financial relief in order survive. They may be able to secure additional loans to help pay off some existing debts, but this strategy can leave a business spiraling deeper into a hole of debt.
Entrepreneurs in Texas take a lot of risks. Chief amongst these risks are those that are financial in nature. A business typically has to rely on some sort of financing or investment to get off the ground, and expansion typically requires additional lending. In order to make good on these debts, a business has to have a strong bottom line. Yet, in many instances, businesses see shrinking markets, diminishing margins and difficulty making ends meet.
Financial woes strike most businesses at one time or another. Sometimes, these money troubles threaten to shut a business down. However, such drastic measures aren't always necessary, as businesses can find debt relief options that allow them to continue operation.
Anytime an individual or business is struggling to stay afloat, they may consider bankruptcy as a viable option. Gigi's Cupcakes, a cupcake chain based in Texas, recently filed for Chapter 11 bankruptcy protection after facing multiple lawsuits. Gigi's apparently has multiple shops in Texas, in places such as Dallas and Fort Worth, and operates dozens of franchises all across the country.
Both individuals and companies have the option of filing for bankruptcy protection when their debts become overwhelming. Nowadays, more and more U.S. companies have had to file for bankruptcy due to major changes in the marketplace. David's Bridal, the largest bridal retailer in the country, recently filed for Chapter 11 bankruptcy protection.
Business bankruptcy options are available to help struggling businesses overcome their financial struggles. A total of 9 Sears stores will close throughout Texas as part of the company's announcement that it will file for Chapter 11 reorganization bankruptcy. The company has been experiencing declining sales and increasing debt and will close 142 stores as part of the liquidation process of some of its stores. Changes in the retail landscape, shopping habits and technology have resulted in declining sales for the retailer.
Reorganization bankruptcy options are available for both businesses and individuals to help both when they find themselves struggling. Texas-based Mattress Firm is reportedly filing for bankruptcy protection that will likely lead to restructuring.
If your business has been struggling, you may wonder what chapter 11 bankruptcy is. In general, Chapter 11 bankruptcy is a bankruptcy option for small businesses and corporations that are struggling and seeking relief from debt that may be crushing for the business.
The restaurant business can be incredibly challenging. Changing tastes and trends can leave a restaurant or even an entire chain suddenly in dire financial straits, even when entrepreneurs identify the right combination of location, menu choices, suppliers, branding and all of the other elements that go into a successful operation.
Tyler residents are likely familiar with the sight of a Brookstone store in a shopping mall or airport. The company started over 50 years ago as a mail-order business selling rare tools and other devices, opening its first physical storefront in the early 1970's. It soon grew into a purveyor of all manner of quirky home products and was an especially popular staple of the thriving shopping mall scene throughout the 1980's and 1990's.