SBRA Resources

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

Don't Miss the "Subchapter V: A Practical Look at the First 12 Months of the Small Business Reorganization Act" Session at ABI's Virtual Central States Bankruptcy Workshop

ABI's 2021 Virtual Central States Bankruptcy Workshop on June 17-18 will feature a panel of experts providing a statistical overview of the cases filed in the first year under the SBRA, examining how subchapter V may provide a more attractive and viable chapter 11 option for specific debtors, and consider the legislation’s impact on various types of creditors. In addition, the panelists will discuss the role, duties and compensation of subchapter V trustees as developed by the case law and practice, from the differing perspectives of a lawyer trustee and a financial consultant trustee. Click here for the full speaker list, conference information and to register. 

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.

Bankruptcy Statistics

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

What SBRA Does

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

SBRA Infographic

LEGISLATIVE/LEGAL INFO