How Much does a General Assignment for the Benefit of Creditors Cost?

Typically the assignee of a General Assignment for the Benefit of Creditors will charge between 5-10% of the value of the assignment estate in exchange for its services. This fee varies however, and can often range from as low as 1% to as much as 20%, depending on the size of the assignment estate and the complexity of the resolution of the assignor’s business. Our opinion is that General Assignments for the Benefit of Creditors almost always cost substantially less than the administration of a Chapter 7 or 11 bankruptcy proceeding, and this is a large advantage of utilizing general assignments over corporate bankruptcy.

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