Facing Bankruptcy
Facing Bankruptcy
Submitted by:
Ritchel R. Reyes
Submitted to:
Dr. Antonio Arturo Manahan
Colegio de San Juan De Letran
Masteral in Business Administration
January 15, 2011
Chapter One
The Problem and its Background
Background of the Study
Bankruptcy might have a different definition based on the people who are will defining it, when investors heard this world they have different reaction some are afraid and anxious while for others it can mean opportunity and a business merging. Some investors are looking for a business who are in the bridge of bankruptcy so they will have the chance to take over the business but on the part of the owner who are in the verge of bankruptcy it can mean the end of the world, because it might be the only thing he has and needs to give it up. Based on Wikipedia Bankruptcy is a legally declared inability or impairment of ability of an individual or organization to pay its creditors. Creditors may file a bankruptcy petition against a business or corporate debtor ("involuntary bankruptcy") in an effort to recoup a portion of what they are owed or initiate a restructuring. In the majority of cases, however, bankruptcy is initiated by the debtor (a "voluntary bankruptcy" that is filed by the insolvent individual or organization). An involuntary bankruptcy petition may not be filed against an individual consumer debtor who is not engaged in business. Many businesses now a day experience bankruptcy, Bankruptcy was originally planned as a remedy for creditors not for the debtors. During the time of King Henry VIII, a law was made to allow creditor to seize all the remaining assets of a trader who could not pay their debt. And the debtor will not lose his freedom he will be charge and subject for imprisonment. In early 19th century in England, debtors were often released from prison with their debts discharged. However, for many years, bankruptcy continued to be a remedy favoring creditors, involuntary in
Submitted by:
Ritchel R. Reyes
Submitted to:
Dr. Antonio Arturo Manahan
Colegio de San Juan De Letran
Masteral in Business Administration
January 15, 2011
Chapter One
The Problem and its Background
Background of the Study
Bankruptcy might have a different definition based on the people who are will defining it, when investors heard this world they have different reaction some are afraid and anxious while for others it can mean opportunity and a business merging. Some investors are looking for a business who are in the bridge of bankruptcy so they will have the chance to take over the business but on the part of the owner who are in the verge of bankruptcy it can mean the end of the world, because it might be the only thing he has and needs to give it up. Based on Wikipedia Bankruptcy is a legally declared inability or impairment of ability of an individual or organization to pay its creditors. Creditors may file a bankruptcy petition against a business or corporate debtor ("involuntary bankruptcy") in an effort to recoup a portion of what they are owed or initiate a restructuring. In the majority of cases, however, bankruptcy is initiated by the debtor (a "voluntary bankruptcy" that is filed by the insolvent individual or organization). An involuntary bankruptcy petition may not be filed against an individual consumer debtor who is not engaged in business. Many businesses now a day experience bankruptcy, Bankruptcy was originally planned as a remedy for creditors not for the debtors. During the time of King Henry VIII, a law was made to allow creditor to seize all the remaining assets of a trader who could not pay their debt. And the debtor will not lose his freedom he will be charge and subject for imprisonment. In early 19th century in England, debtors were often released from prison with their debts discharged. However, for many years, bankruptcy continued to be a remedy favoring creditors, involuntary in