Fresh Affairs in Raleigh files Chapter 11 Bankruptcy

by San Antonio Attorney

Fresh Affairs, a popular special events company located in Raleigh, North Carolina has filed for Chapter 11 bankruptcy protection.

The company had issued a lot of short-term loans that amounted to almost $106,000 for the past two years in order to cover additional costs when the company started out, according to the bankruptcy filing.

Fresh Affairs also has debts that amount to $80,000 in state taxes and another $41,622 in federal taxes last 2014.

Fresh Affairs’ gross revenue from 2013 to 2015 increased by 69 percent.

In 2013, the company gathered $688,351 in total revenue.

In 2015, the revenues increased up to $1.16 million, as based by the court documents.

However, Lyn Graves, the proprietor, clarified that the company is still functioning and hopes that there wouldn’t be any disruption to previously booked events for the holidays and for 2016.

There will be no layoffs in the company, according to Graves.

Graves added that aside from being fully booked for 2016, the company is already ahead of what they were from 2014.  The company just needed financial aid in times when the demand for events is few in number.

Eileen Bornstein, a Raleigh bankruptcy lawyer, who represents Fresh Affairs, stated that this bankruptcy case was filed for the sole purpose of giving Graves, the proprietor a chance to pay off her pending debts.

Bornstein pointed out that the company was doing very well but they bear the same problem with the other small businesses that try to catch up with their pending debt.

The company employs about five or six people as full-time employees.

It can depend on the number of events the company will handle, which will have more than 40 part-time or contract employees on duty during wedding seasons and events that occur in April to October.

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