Legal Question in Bankruptcy in Wisconsin

Small Business Exemptions in Bankruptcy--How to Remain Open

It is sometimes possible for small business owners to continue in business following a bankruptcy, provided that the total value of the business and related assets fall within the exemption limits. Wisconsin allows a small exemption for business property and tools of a trade, but the federal government allows a larger one. The federal government also allows a "wildcard" exemption for cash or any other assets not covered by any other exemption of up to nine thousand dollars, which can include business assets. Continuing the operation of a business through bankruptcy requires carefully planing with your bankruptcy attorney. If the business is valued in excess of the exemption limits and/or not organized properly or if the exemptions not property asserted by your bankruptcy lawyer, the business could be lost. However, my small business clients routinely succeed in remaining open with full cooperation and careful preparation before filing.