Many of our Escondido readers who are familiar with previous posts here know that California businesses have a variety of options when profits begin to shrink. The economic turmoil of the last several years has forced thousands of businesses to take a hard look in the mirror and come up with a new model for achieving success. For some, that internal review resulted in the decision to file for bankruptcy. But, if a company does come to that decision, there is yet another decision to make: what type of bankruptcy will the company file?
Advances in technology can lead to the formation of new business ventures, often with an eye toward perfecting advances and profiting handsomely. The last several years have seen advances which have had a huge impact on a whole way of life for many Escondido residents, whether it is from the development of smartphones, added perks in an automobile or simply smaller, faster computers. When it comes to technology, it almost seems like a new product is obsolete before a costumer can get it out of the box.
It's no secret that the national economy has been difficult to navigate for about the last five years. Although most people would admit that the current economic climate is definitely more friendly now than it has been, growth is still too incremental and the unemployment rate remains stagnant. There is no telling what the catalyst will be that finally jumpstarts the economy to get back to pre-2008 levels, but many business owners are looking for that moment every day.
There are certain words in the American culture that instantly draw negative reactions. "Bankruptcy" is one of them. Most people probably associate bankruptcy with poverty, excess spending or an inability to manage finances. While it is certainly true that some cases of bankruptcy filings may involve certain aspects of the stereotypes people associate with this legal process, it is important to point out that there are many success stories tied to completed bankruptcy filings. The decision makers in one major company are probably hoping that they will eventually be among those "rags to riches" tales.
Building a business from the ground up takes a lot guts. The risks associated with such an undertaking are enormous, but the rewards can be just as great. While many businesses succeed, several others succumb to the harsh realities of a struggling economy and a lack of product or service demand. When this happens and a business is drowning in debt and the owner suffers from finance-related stress, legal action may be able to help.
Our Escondido readers may recall a previous post here from back in December detailing the bankruptcy filing by former video game giant THQ. While the company filed for Chapter 11 bankruptcy, a type of bankruptcy that is usually associated with efforts to reorganize a company, streamline a business focus and come to an agreement on business debt, THQ went into the Chapter 11 process with the intention of selling all of the company's assets. Now, approximately seven months later, it appears that THQ's bankruptcy case has come to a conclusion.
Our readers have seen the evidence on previous posts here, and now they are about to see more: the solar energy industry is having a tough time in the global marketplace. Numerous companies based in California have had to file for bankruptcy in the last few years, with some opting for Chapter 11 bankruptcy and others going with a Chapter 7 "liquidation." However, as bad as the market has been for California solar companies, it appears that the problems are not isolated to the West Coast.
Many of our California readers may have been following along with previous posts here detailing the trials and tribulations that former American business powerhouse Eastman Kodak has been going through in recent years. Since filing for Chapter 11 bankruptcy protection near the end of 2011, the company has been conducting an all-out assault on making changes to its strained financial situation, and now it appears the efforts may result in an exit from bankruptcy in the near future.
Many people have probably heard of the Chevy Volt and the Nissan Leaf. These are the two most popular "green" energy, all-electric cars in America, although both have their drawbacks, including what many consumers would consider lofty price tags. However, it appears that these two vehicles may be in good position to catch some traction in the American auto market as time goes on.
Our Escondido readers probably know that smart business leaders often land upon an idea to match the right product with the right consumer, and the result is continuous or even increasing profit. For a small grocery store chain founded in California, known as Pro's Ranch Markets, that idea was to market Latin American food products throughout the Southwest, with stores in Texas, New Mexico and Arizona.