In the wake of economic fluctuations and potential market downturns, businesses across the United States, especially in sectors like technology and healthcare, are seeking more efficient methods to manage financial distress. The traditional route of bankruptcy is being reconsidered in favor of an alternative that offers a quicker, less expensive path: the Assignment for the Benefit of Creditors (ABC), particularly under Delaware law.
This whitepaper delves into the intricacies of ABC, showcasing its growing acceptance and detailing why it’s becoming a preferred choice for distressed companies, including those operating out of Arizona. Despite the complexities and particular challenges within Arizona’s legal framework, the Delaware ABC presents a viable solution, offering higher payouts to creditors and a more streamlined process compared to traditional bankruptcy proceedings.
Discover why more businesses are turning to Delaware’s ABC for relief from financial distress, understand the process, and evaluate the benefits and considerations that come with this alternative approach.