Many hospitals across the United States, including in Massachusetts, are experiencing financial difficulties in the modern business landscape. As a result, many of them are filing for Chapter 11 bankruptcy. Companies both large and small can take advantage of this type of bankruptcy filing if they are in dire financial straits and need rapid relief.
A recent report indicated that the economy has remained relatively stable during the past several quarters. In fact, the real estate industry has especially witnessed financial success during the past few years. However, the health care industry has shown high distress levels. In fact, the industry’s distress has apparently jumped during eight of the most recent 11 quarters, with both public and private entities potentially being affected.
Researchers indicated that over 20 hospitals have pursued bankruptcy since the year 2016. Seventy-five percent of these organizations are in rural parts of the country. This is because the population of insured people are rising even as rates of reimbursement fall.
The reality, though, is that the medical field is not the only industry where organizations may face tough times. Companies in any industry — even in the currently booming real estate world — may end up accumulating more liabilities than assets and thus get into trouble financially. Fortunately, Chapter 11 bankruptcy protection is available for business owners in all industries in Massachusetts and elsewhere who simply cannot overcome their debt issues on their own. An attorney can help these struggling business owners to navigate the bankruptcy filing process and thus finally get on the path to financial health this year.