A company can file for bankruptcy even if their assets exceed their debts. In many cases, the value of a company’s assets often is greater than the value of their debts.

However, if the company cannot easily convert these assets into cash, then the company may not be able to meet debt obligations. This can occur if the assets are necessary for a business or if the market for the asset is small.

If the company cannot meet its debt payments, it may be forced to file  for bankruptcy. Bankruptcy protection can often make it more simple to sell assets for cash.

If your company is considering filing for bankruptcy, contact the New Orleans bankruptcy attorneys of the Law Office of David D. Kervin, Jr. at 504-599-5906.