Can you declare bankruptcy on a Small Business Administration (SBA) loan?
While the common perception is that you cannot discharge government loans in bankruptcy, in reality, many such loans can be discharged in bankruptcy. The Small Business Administration (SBA) does not directly make loans; rather, it guarantees at least a portion of the loans, which reduces the risk of liability should the loan go into default. Therefore, SBA loans are dischargeable in bankruptcy proceedings.
Speak to an Experienced Business Bankruptcy Attorney Today
This article is intended to be helpful and informative. But even common legal matters can become complex and stressful. A qualified business bankruptcy lawyer can address your particular legal needs, explain the law, and represent you in court. Take the first step now and contact a local business bankruptcy attorney to discuss your specific legal situation.
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