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The Small Business Reorganization Act of 2019 (SBRA), in effect as of February 19, 2020, was enacted to provide Main Street business debtors with a more streamlined path for restructuring their debts.

In response to the economic distress caused by the COVID-19 coronavirus pandemic, the “Coronavirus Aid, Relief, and Economic Security Act” (CARES Act; P.L. 116-136) was enacted on March 27, 2020, increasing the eligibility limit for small businesses looking to file under SBRA's subchapter V from $2,725,625 of debt to $7,500,000. The threshold was originally scheduled to return to $2,725,625 after 1 year, but was extended to 2022 with the enactment of the "COVID-19 Bankruptcy Relief Extension Act" on March 27, 2021.

ABI is pleased to provide our members with curated access to the education, analysis and news you need to know. The site will be updated regularly, so check back often.

Upcoming Events

Is the SBRA Here to Stay? Panel of Experts at ABI's Winter Leadership Conference to Answer This Question and More!

The Small Business Reorganization Act of 2019 was heralded as one of the most important pieces of bankruptcy legislation passed since BAPCPA in 2005. Has the SBRA been widely and effectively used? What important current case law issues exist? Is the SBRA here to stay? Will the $7.5 million debt limit be a permanent change? A panel of experts at ABI's Winter Leadership Conference in December will explore these questions and more. Register here!

Bankruptcy Statistics

For more detail and further analysis on Subchapter V cases, please click here.

Informative Videos

Select Presentations on SBRA from ABI Events

Understanding the Nuts and Bolts of the “New” Subchapter V

The panel will explore the new requirements for filing and confirming a small business case under the new Subchapter V of Chapter 11 of the Bankruptcy Code, which became effective on February 19, 2020, and will address the potential issues you and your clients are likely to confront in seeking to successfully effectuate a reorganization thereunder.

Tools to Navigate the Financial Crisis Related to COVID-19

A distinguished panel of experts deciphers recent federal bailout programs and developments. Discussions also center on how best to successfully navigate the liquidity issues arising in the wake of the COVID 19 pandemic.

For more informative videos on SBRA, please click here.

ANALYSIS

View more news and commentary on SBRA

Key Facts and FAQS

What SBRA Does

The below illustration provides a side-by-side comparison of the SBRA and prior bankruptcy law.

SBRA Resources