Chapter 13 Bankruptcy for Small Business Owners

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If you are a sole proprietor or general partner, Chapter 13 bankruptcy may help your struggling business. Through Chapter 13, you can keep your business and repay business debt over a three to five year period.  But there are limitations -- you can't file for Chapter 13 if your business is a corporation or limiited liability company. And if you want to close your business, Chapter 13 might not be a good option.

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