This chapter of the US bankruptcy laws is especially designed for businesses. Individuals, in most cases, would not consider chapter 11 but would look instead to chapters 7 and 13 for debt relief. Chapter 11 helps a business rehabilitate its credit and address too much debt. Filing chapter 11 bankruptcy permits the business debtor have a contract with its creditors and lenders under which the business continues its operations but the revenue generated by the business, especially the profit is used to service its loans and debts. The purpose is for the business to reduce its debt so it can survive and continue to be ongoing.
A person can qualify for chapter 11 bankruptcy filings if the following qualifications are met.