My client, Smith, and Co., needed the services of a Bankruptcy Attorney. The owner, John Smith, had a problem because one of his largest customers filed bankruptcy. The customer owed my client over $1 million. Smith and Co. also had $500,000 of this customer’s inventory on hand in their warehouse. This problem was a significant challenge because this bankrupt customer was 25% of the company’s annual sales. Smith and Co. were marginally profitable at the time. When notified by the bankruptcy courts that his customer filed for bankruptcy protection, John called his attorney for legal advice. John needed the legal services of a good bankruptcy attorney to keep his business out of bankruptcy.
John Smith hired my firm to handle this bankruptcy issue.
The first thing we did was review all communications from the bankruptcy court. I examined the client’s financials including the accounts receivable and inventory. My firm then called Mr. Smith’s attorney to discuss the issue.
The first thing we did was review all communications from the bankruptcy court. I examined the client’s financials including the accounts receivable and inventory. My firm then called Mr. Smith’s attorney to discuss the issue. We learned later that my client’s attorney was a “real estate” attorney, and knew very little about bankruptcy law. This attorney should not have accepted my client’s case. He knew nothing about creditor bankruptcy law. The fate of this transaction was going to affect the financial health of my client’s business.
Only hire a Bankruptcy Attorney to handle a bankruptcy problem!
Michael Jordan was a great basketball player. But, if I were going to draft an athlete to play linebacker for the Philadelphia Eagles, I would not pick him. Michael was a very talented athlete, but he would have got killed on the football field with those 300 lbs. highly trained athletes!
John’s attorney was a skilled real estate lawyer and not a bankruptcy attorney. As a result, he would have got killed (as would have my client with his representation).
My name is Robert Curry, and I am an Author, CEO Coach, Keynote Speaker, and Turnaround Specialist. Over the past 20 years, I have worked with more than 70 companies taking their businesses from Loses to Profits.
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