Florida Companies File for Bankruptcy
Although giant retailers like Sears and Toys R Us get all the attention, smaller Florida businesses have also been filing for bankruptcy protection recently. Whether these companies can reorganize their debts successfully remains to be seen, but if your small business is struggling, realize that you are not alone.
Promise Healthcare Group Seeks Chapter 11 Protection
A hospital and nursing home chain based in Boca Raton has recently filed for bankruptcy with the hopes of reorganizing. According to the Sun Sentinel, Promise Healthcare Group filed a bankruptcy petition in Delaware bankruptcy court early this month. According to its filings, the company has around $565 million in debt with $110 million in interest.
Like other large companies that file for Chapter 11 protection, Promise Healthcare has hired a consulting company to help it determine ways to stay afloat. Promise Healthcare hired FTI Consulting Inc. and have appointed a managing director of the company as Promise’s chief restructuring officer.
Inlingua Language Schools Closes
These language schools, with one in Orlando, have helped over 700 foreign students in Florida learn English. According to the Orlando Sentinel, these schools all abruptly closed this month, leaving students stranded and staff members unpaid. The schools are owned by a family from Ecuador and are part of a bankruptcy case in southern Florida.
Sancilio & Company Shocks State with Bankruptcy Filing
This Riviera Beach pharmaceutical company has recently filed for Chapter 11 bankruptcy protection. The filing should come as a bit of a shock, seeing as the company received over $3 million in state and local subsidies in the past couple years as part of an incentive deal. Sancilio had gone public only a couple years ago, and there is no word on how the company could have faced financial distress so suddenly.
Frank Theaters Files for Bankruptcy
Jupiter-based Frank Theatres filed for bankruptcy this summer. Its financial troubles stemmed from closing unprofitable theatres, which left the company with sizeable liabilities. The bankruptcy has been a long time coming. According to Kingsport Times-News, the theater had stopped paying its rent back in November 2016, which had caused the landlord to file a legal complaint for eviction. As stated in court records, the company owed well over $300,000 in unpaid rent. Frank’s fought the case with its landlord, though it eventually agreed to vacate the property in April 2017.
At its height, Frank Theatres had 25 theaters with over 250 screens. According to bankruptcy filings, the theater generates around $12.4 million a year in revenue but had $6.7 million in unpaid taxes.
Business Bankruptcy Attorneys in South Florida
If your small business is feeling stress, you should consider whether a bankruptcy is right for you. Small businesses can choose to liquidate altogether or try to reorganize their debts with a Chapter 11 filing.
Contact us today at Nowack & Olson, PLLC in Plantation. We work closely with our clients to come up with an individualized plan that works for them. You can reach us by calling 888-813-4737 or sending us a quick online message. Initial consultations are free.
Resources:
timesnews.net/Business/2018/09/24/Frank-Theatres-files-Chapter-11-bankruptcy
sun-sentinel.com/business/fl-bz-promise-healthcare-bankruptcy-20181114-story.html
orlandosentinel.com/features/education/school-zone/os-ne-inlingua-schools-close-20181113-story.html
