What do all Banks do to destroy you?

The biggest weapon a bank can shoot at you to destroy you is to file what is called a “Motion for Relief from Stay”.   This motion seeks an order from the court allowing the bank to foreclose on the property secured by its loan. If the bank wins that argument, you are dead.  If you defeat them, you are in the driver’s seat and the whole dynamic changes.  To that end, you must always be prepared to defeat this motion which means knowing how to structure your reorganization plan and to strategize from day one how you will do so.

Let’s look at the Relief from Stay Motion from a businessman’s perspective.  Simply stated the bank will put forth various arguments to the court as to why they should be able to foreclose.  I jokingly tell all my clients don’t let your wife or husband read this motion because the bank will paint you as incompetent, irresponsible, of bad character, and basically, that you should have your photo on the Post Office wall as FBI’s # 1 most wanted.

Don’t worry, the judge has seen that mud slung before. What you need to understand is in order for the Bank to beat you and win that motion, they must argue that you have no reorganization plan that can be confirmed: In the actual motion, they will say “there is no reasonable likelihood of a reorganization plan being confirmed”

This is very important because barring extraordinary circumstances, in any Chapter 11 all issues other than your reorganization plan are secondary.  If you know how to structure your plan, the odds are very much in your favor.

So what do you do?   The most effective way to defeat a banks, Motion for Relief from Stay and also to stop a bank from filing that motion is from day one to understand how to file a confirmable reorganization plan and then use it as your most powerful weapon to defeat the bank and win.   Unfortunately, many Chapter 11’s get filed and run their course without a coherent plan being thought through.

I’ve written hundreds of reorganization plans, and had them confirmed in courts nationwide.  I’ve also defeated more Relief from Stay motions than I can count by writing and then filing the reorganization plan as the foundational argument against the bank.

We are turn-around experts who see things differently than your typical law-firm.  Our reorganization plans are different too and unlike law-firms, we have specialty chapter 11 financing often funded through banks at low interest rates so we can do what others can’t and have financing others don’t.

Give us a call to discuss your situation.

About Restructuring Advisory Group

For over 25 years, Restructuring Advisory Group has negotiated the discount, refinance, modification and restructure of nearly one billion dollars in loans with major banks and financial institutions nationwide and confirmed hundreds of reorganization plans for clients across the country.

We are much more than Bankruptcy Consultants or loan and equity sources: We are experts in Chapter 11 Finance and Chapter 11 turn-around strategies who decades ago successfully restructured our own businesses and real estate projects through Chapter-11: We understand the process from a business owners and real estate investors perspective.

Call or email us

C.H. Brown

RESTRUCTURING ADVISORY GROUP
Ph # 800-357-8247 

Website:    www.restructuringadvisorygroup.com

Website:    www.restructuringexperts.com

Email:   RESTRUCTURINGEXPERTS@GMAIL.COM

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This post was written by chbfidd1