Simply put, business debt restructuring is a tactic that enables your organization to modify or lengthen the terms of your loan obligations.
This will give you more time and/or money to pay off your debts and get your finances back on track. It's crucial to understand that debt consolidation and business debt restructuring are two different processes.
You can consolidate your debt by taking out a single new loan and merging the outstanding balances of your former loans.
It can offer you a reduced interest rate because of its resemblance to refinancing, making it more alluring than a debt restructuring in some circumstances.
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Here are some examples of business debt restructured:
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