The covid-19 pandemic may be waning, but pandemic-related supply chain disruptions are still causing headaches for businesses in the Milwaukee area. Hanson & Payne, LLC regularly assists local businesses that face financial difficulties due to supply chain disruptions, and we are ready to help our clients take on this additional challenge.
According to data compiled by Bloomberg, “72 companies with at least $50 million of liabilities have filed for bankruptcy this year as of June 21… That’s well below the 118 that had sought court protection during the same period last year, but still above the 10-year average of about 65.”
These larger bankruptcies often cause small and mid-size companies to file for bankruptcy weeks or months later as the entire supply chain is disrupted when any one company is in distress. It is very much like a domino falling when a major player declares bankruptcy.
Add to this the end of some of the federal and state relief programs aimed at reducing the impact of the pandemic, the shortage of vital products like semiconductors, rising rates and a lack of drivers in the shipping industry, and challenges caused by wild weather and labor shortages in the agriculture sector, and you can see why many Milwaukee area business owners are on edge. It is possible the worst of the pandemic is yet to come if you are looking at it through a business lens rather than from the public health perspective.
Now, as always, Milwaukee area businesses facing financial uncertainty can count on Hanson & Payne, LLC to have their back. Our experienced team of attorneys isn’t just paper pushers. We are business-minded counselors who can help your business navigate these uncertain times.
Sometimes bankruptcy is the best option for a business that needs to get through a tough stretch. As we often discuss on this blog, bankruptcy is a great tool, not a mark of failure.
In other situations, it may be better to avoid bankruptcy by tapping into one of the unique aid programs being offered by the government because of the pandemic, or head to the negotiating table and directly negotiate some needed relief.
Creditors are just as stressed as their borrowers during this difficult time, and are more than willing to be flexible. If your business is facing cash shortages and needs temporary or permanent relief from its creditors, we may be able to negotiate terms of forbearance or loan modification with your creditors.
Because we really dig into our clients’ finances and care about their businesses, we are going to help you do what is best for your business, not what is the easiest for us to manage from the legal perspective.
Hanson & Payne’s well-established reputation as a bankruptcy firm that knows business is what drives businesses and commercial lenders from Milwaukee and beyond to rely on Hanson & Payne when they find themselves teetering on the edge. If you are in this situation, we are ready to help get you back on solid footing. Please contact our office today to schedule an initial consultation.