Most people equate business bankruptcy with liquidating a company’s assets and using the proceeds to repay creditors. That’s a Chapter 7 filing under the U.S. Bankruptcy Code, but closing shop isn’t a foregone conclusion in bankruptcy. Many companies instead file for Chapter 11 (reorganization) bankruptcy. This option allows a company to continue to operate, with the hope of turning things around. In the first half of 2023, both types of business bankruptcy filings surged in the United States. In particular, Chapter 11 filings were up 68% from the same period last year, according to Epiq Bankruptcy, a provider of bankruptcy statistics. This figure reflects only businesses involved in formal bankruptcy proceedings; many others are involved in informal, out-of-court reorganizations. Here are ways business valuation professionals can...