OHIO COMPANY BOUGHT OUT OF BANKRUPTCY

The word "bankruptcy" may leave a bad taste in some people's mouths or even carry with it the negative connotation of failure. While bankruptcy may not be the most ideal situation to find yourself in, it is vastly preferable to crushing debt. Bankruptcy exists to save people from insurmountable debt by affording them debt relief depending on the type of bankruptcy they file. Of course, once you've managed your debt through bankruptcy, anything could happen after your fresh financial start.

A custom men's suit company that was founded in Columbus, Ohio filed for Chapter 7 bankruptcy in August 2013. The filing listed the company's assets at $1.7 million with liabilities of $8.5 million. Rather than trying to pay off almost $7 million in debt, the company, Astor & Black, chose liquidation to find relief from the massive debt. In January 2014, a former employee of Astor & Black bought the company out of bankruptcy and is ready to give the brand a rebirth.

This is a case that showcases some of the positives of bankruptcy, which many members of society either fail to notice or do not know of. In the case of Astor & Black, everyone wins. The company managed to escape from the crushing debt that it faced at the end of 2013, and within a few short months it was bought out and could be on its way back to the $20 million in sales that it enjoyed in its prime.

Chapter 7 bankruptcy doesn't apply only to businesses. Individuals and married couples can also benefit from the debt relief that Chapter 7 bankruptcy brings. The process only takes about four months, and allows filers to discharge some of their debts entirely, putting them on the road to financial recovery. If you are suffering from crushing debt, don't be afraid to explore the debt relief options available through bankruptcy.

Source: The Columbus Dispatch, "DSW to help footwear wholesaler Yellow Box open stores," Tim Feran, April 20, 2014