HMV is a British music retail chain that has been in business since 1902. Now, after over a century of success in the United Kingdom, the company is finally declaring bankruptcy using the British legal system. In Britain, this is referred to as entering “administration.” In Britain, a dropping economy has caused many long-standing businesses to fall out, and HMV is just the next in a long line. Among the others bankrupt companies is the camera retailer Jessop’s and the sporting goods store chain JJB Sports. Administration in Great Britain is equivalent to a Chapter 11 bankruptcy in the United States.

This means that the companies will not litigate, but they will instead try to structure their debts into a payment plan and then pay on that expense every single month until it is eliminated. HMV says that it has failed to reach an agreement with its creditors about the debts, and it will be appointing administrators to oversee the business while they work through administration. Chances are that HMV will be sold to new owners and the company’s shares will be suspended from the London Stock Exchange.

This British company has also opened up HMV outlets all throughout North America, but the last of its American stores shut down in New York in 2000. This was because the struggling economy caused the stores to shut down prematurely. As well, the rise of digital downloads in music has made purchasing records and compact discs relatively obsolete. More and more music stores are starting to fall out as they discover that people are opting for online downloads from stores like Itunes. People are also championing the use of other music listening applications like Pandora Radio or Spotify. If you are currently working in the music business and are experiencing these same adverse effects, then you need the help of a dedicated and hardworking bankruptcy lawyer on your side.

In America, administration is replaced with the title Chapter 11. You can use this method of bankruptcy to possible refinance and restructure the payments from your company. This benefit may help you to keep your business instead of having to liquidate. In some situations, you may discover that there is no way to restructure your finances so that you can afford an expensive debt. In these situations, you may need to opt for a sale. Selling out may be disappointing, but it may be the best way to help you eliminate your debt in a timely manner and curb creditors from threatening you with a lawsuit.

Whenever you are dealing with these serious situations, you want a bankruptcy attorney on your side. A bankruptcy attorney can not only help you as you negotiate through a bankruptcy with your business or your home, but he or she can help you to restructure your finances, negotiate any debt settlements, and maybe even opt for a debt settlement. You want a bankruptcy lawyer there every step of the way so that you can be sure that you are not being cheated out of your finances or forgetting important steps.

If you fail to list all of your assets on your bankruptcy forms, or you fill out the paperwork incorrectly, then you can be prosecuted for bankruptcy fraud. You would never want to end up in this situation, so having a legal representative on your side throughout the entire process is essential. Contact an attorney today to get the representation that you deserve. Make sure to choose a lawyer that is local so that you can be sure he or she will understand the laws of your state and country regarding bankruptcy.