Beginning with selling watches to railroad workers, Sears built its first stores and sent out printed catalogs to potential customers not long after the Civil War. The catalog sometimes filled 1,000 pages and sold just about anything anyone in Louisiana or any other state could possibly need. For more than a century, Sears was a leader in a booming retail industry until online shopping took the world by storm. Like many other retail stores in recent years, Sears recently filed for debt relief under Chapter 11 bankruptcy.
Sears’ liabilities currently outweigh its assets by more than $4 billion. Hedge fund manager, Edward S. Lampert, had plans to sell off many of the company’s brands and properties, which he did. However, he also had plans to bring Sears into the 21st century by developing innovative new marketing schemes that would help it climb the ladder to success in the digital shopping realm. Unfortunately, that part of Lampert’s plan was never realized.
There are numerous types of bankruptcy, and each business or individual can apply for the available option that best suits a particular financial situation. Eligibility requirements must first be met before filing, regardless of whether the application is filed under Chapter 11, Chapter 13 or Chapter 7. One of the greatest benefits of filing Chapter 11 as a business owner is that it often makes it possible for the company in question to keep its doors open while paying off debt through a court-approved restructured payment plan.
It would be difficult to find a man or woman in Louisiana or any state who has not heard of Sears. In fact, most people have either shopped there at one time or other, or have family members who have. Debt relief options, such as Chapter 11 often give a business breathing room to overcome serious debt and become profitable again.