Fewer corporations declared bankruptcy in 2011

The economy is showing some signs of a slow recovery and new numbers show that less large corporations filed for bankruptcy in 2011. This is the third straight year that bankruptcies have declined since the economic collapse in 2008.

A total of 88 publically traded companies entered bankruptcy in 2011, down from 106 in the previous year. Bankruptcies spiked after 2008’s economic meltdown.

Although these statistics may be promising, some experts anticipate that bankruptcies will spike again in 2012, because companies which overextended their credit before the financial crisis and now must begin to pay off these debts. Many of these businesses will find that a bankruptcy attorney may be the only person who can help them handle the crushing debt.

Personal bankruptcies also fell by 12 percent with 1.35 million people declaring Chapter 7 or Chapter 13 debt protection. Each filing offers a different way to relive debt, which can be explained by a bankruptcy lawyer.

In spite of the decline have some big names that have been forced to a bankruptcy attorney this past year and as a result raised the average size of a bankruptcy to $104 billion. This increase can be attributed to the $40 billion bankruptcy of MF Global.

Even though bankruptcies have declined, bankruptcy lawyers will still be necessary for individuals and businesses alike. No industry or company is immune to struggle and if they can’t deal with debt, a bankruptcy may be the best solution