For some business owners, bankruptcy is a method by which to realize the materialization of a dream. This is exactly the case for the owners of the Russian River Vineyards in California. When the current owners took control of the business, the property was near foreclosure. The business owners incurred a substantial amount of debt as they returned the property to proper working order. Unfortunately, as of yet, they've been unable to get out from under that debt. Now, they're filing bankruptcy in order to keep the doors open, while restructuring their payments.

In light of the current economy, Chapter 11 bankruptcy protection is the ideal option for business owners hoping to keep their dreams alive. Chapter 11 seeks to stop harassment by creditors, while debt is restructured in such a manner so as to provide manageable payment options. For business owners trying to rescue a failing business, only to end up facing insurmountable debt, the task can prove to be disheartening. Thankfully, Chapter 11 bankruptcy protection can offer the help they need.

The filing will allow the winery to pay off its creditors in an orderly fashion, while owners work at stabilizing day-to-day operations. The owners have emphasized that Russian Rivers is not asking creditors or lenders to take even one penny less than what is owed them; they only want to be allowed time to reorganize their overall debt. During that time, the winery and its restaurant will go ahead with business as usual.

The winery and restaurant employs about 35 people, all of whom are maintaining high levels of hope that filing for bankruptcy protection will provide the much-needed time to get financial matters in order.

Many business owners find themselves struggling to keep their doors open in the wake of a struggling economy, growing debt and meager incomes. For these people, bankruptcy protection may be the best option for securing debt relief by reorganizing payments in a fashion that is acceptable to both business owners and creditors. California legal counsel experienced in bankruptcy law may be able to answer the many questions that will undoubtedly accompany a filing for bankruptcy.

Source: The Press Democrat, "Russian River Vineyards files bankruptcy," Cathy Bussewitz, Aug. 15, 2011