I liked reading the Forbes headline “GM Makes Rare Round Trip: Bankruptcy and Back to the S&P 500”. I liked it a lot, and so did all the other Indiana bankruptcy lawyers who work in the Zuckerberg bankruptcy law offices. We love “round trip” success stories in which debtors use the opportunity they’ve been given for a fresh financial start to rebuild their lives and come out on top. General Motors, of course, is a giant company, not the small business bankruptcy cases and cases of personal bankruptcy with which we deal every day. We have lots and lots of success stories to share, but we don’t. Contrary to the myth that “If I file bankruptcy, everyone will know,” in the real world of individuals and even small businesses who file, no one knows except the ones you choose to tell.
Four years ago, General Motors, once the Standard & Poor’s largest company, was removed from the index when it filed bankruptcy. Just this month, GM was restored to the S&P. As one of my colleagues, a Richmond bankruptcy lawyer, pointed out, it’s very rare for an S&P company to ever file bankruptcy while still included in the index. It’s even more rare for a company that’s been removed to return.
While I might be considered an “expert” in Indiana bankruptcy law, I’m far from an investment expert. However, I do want to explain to Bankruptcy in Indiana readers that to be included in a stock index, a company has to show high levels of profitability and market size. But, in addition, any company chosen, as index expert Howard Silverblatt explains in Forbes, must be deemed a good representative for its industry. That makes the “round trip” that GM took (from being at the top of its industry to the bottom and back to the top) a very inspiring story to share with folks considering filing individual or small business bankruptcy in Indiana.
If you can't pay all your bills, is what I tell clients, and your credit is already messed up, maxed out or dead, wouldn’t you rather be able to begin rebuilding your credit without owing all that money?
After 26 years offering Indiana bankruptcy help, I know that bankruptcy is a system that helps you help yourself get back on the way up. You’ve done half the round trip – isn’t it a good idea to seize the chance to make the second half of the trip back to better times?
Categorised in: Bankruptcy Indiana
This post was written by Mark Zuckerberg