Title : Advantages and Disadvantages of Debt Restructuring
link : Advantages and Disadvantages of Debt Restructuring
Advantages and Disadvantages of Debt Restructuring

Debt restructuring is used by businesses as an attempt for recovery from high debts. This useful tool adjusts the way payments are made on debts. Restructuring the debts may also include adjusting interest rates and changing the length of grace periods. People choose to have their businesses go through this process if they have become unable to stay on top of their financial situation. It is different from bankruptcy in that it is less expensive and will not take as heavy of a loss of reputation. It also increases the chances the business will succeed once they get back on their feet. Companies that end up filing for Chapter 7 bankruptcy only have a 20% chance of succeeding in the years to follow.
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