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How Businesses Use Corporate Debt Restructuring for Liquidity

Debt RR

Debt can also be secured using intellectual property, equity, and other soft debt. Missing payments on secured debt causes the creditor to repossess the property as recourse. If collateral is seized, it often occurs in court, leaving a record for other partners and vendors to dig up. How Businesses Restructure Debt.

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What Happens to Debts When Dissolving a Company?

Debt RR

Secured debt: If a business receives a loan or other credit — like a credit card — because of specific assets or liquid collateral, they have secured debt. Though more uncommon than equipment leases and unsecured debt, some businesses are able to acquire secured credit options.