What are the costs for filing for insolvency?
July 2, 2022 | 40,00 EUR | answered by Katja Winterberg
Dear bankruptcy lawyer,
My name is Eva Eckstein and I am currently facing the difficult decision of whether to file for bankruptcy or not. After my company has suffered greatly in the last few months due to the Corona pandemic, I now feel compelled to consider this measure.
The financial situation of my company has drastically deteriorated and I see no longer see a way to repay the debts. The creditors are piling up and the demands are becoming more urgent. I am very worried about the future of my company and wonder if filing for bankruptcy would be the right decision.
My question to you as an expert in bankruptcy law is: What are the costs for filing for bankruptcy? I would like to know in advance what financial burdens I will face and if I can afford them. Are there possibly financial support options or alternative ways to cover the costs?
It would be very helpful for me if you could provide me with more detailed information on this so that I can make an informed decision. Thank you in advance for your support and advice.
Sincerely,
Eva Eckstein
Dear Mrs. Eckstein,
I fully understand how difficult the decision is whether to file for insolvency or not, especially in a time like the current Corona pandemic, which poses great financial challenges for many companies. It is important to gather information and consider all aspects before making a decision in such a situation.
Regarding your question about the costs of insolvency filing, I can tell you that these costs usually depend on various factors. Firstly, it is important to know that the costs of insolvency filing are usually covered by an insolvency administrator. This person operates within the insolvency proceedings and their remuneration is paid from the insolvency estate.
The exact amount of the costs depends on the size and complexity of the insolvency proceedings. There are fee schedules that regulate the remuneration of the insolvency administrator, and court costs for the insolvency proceedings can also vary. Therefore, it is difficult to provide a fixed cost as they are calculated individually.
It is also important to know that there are different ways to cover the costs of insolvency filing. In some cases, legal expenses insurance may cover the costs if insolvency law is included. Also, under certain conditions, government assistance in the form of legal aid or legal cost assistance may be considered.
It is advisable to contact an experienced insolvency lawyer to get an accurate assessment of the costs and to discuss possible financing options. An insolvency lawyer can provide comprehensive advice and help you find the best solution for your individual situation.
I hope this information helps you and supports you in your decision. Please do not hesitate to contact me if you have further questions or need advice.
Best regards,
Katja Winterberg
Insolvency Lawyer
