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Are There Affiliate Marketing Opportunities with Chapter 7 or Chapter 11 Bankruptcy?

Affiliate marketing can be a great way to obtain income via your bankruptcy or business. Whether it’s making a margin on PPC campaigns to writing detailed review articles, affiliate marketing just works. Plus, it’s more fun than publishing articles or posting ads on your website.

Today, let’s discuss two common forms of bankruptcy. We will also discuss whether there are affiliate marketing opportunities, specifically in the bankruptcy space.

Here’s what we’ll cover:

  1. A Very Thorough Analysis Between Chapter 7 and Chapter 11 bankruptcy. This can help you understand whether you want to market in this space.
  2. Affiliate Marketing Opportunities In Bankruptcy

Let’s get started

Chapter 7 Bankruptcy vs. Chapter 11 Bankruptcy Overview

Interestingly enough there are more businesses that file bankruptcy than you’d think. During the pandemic, Guitar Center filed a Chapter 11 bankruptcy. As such, this helped them eliminate most of their debt and remain in business. The question of whether a business should either file a Chapter 11 or Chapter 7 bankruptcy is quite a common one. In this article, we will go through the main differences between Chapter 7 and Chapter 11 bankruptcy, as well as some of the pros and cons attached to each.

Chapter 7 bankruptcy is a liquidation bankruptcy and a Chapter 11 bankruptcy is a reorganization bankruptcy. The attorney fees are often quite a bit more expensive in a Chapter 11 bankruptcy compared to Chapter 7.

Filing a Chapter 7 Bankruptcy

When a business files a Chapter 7 business bankruptcy, the company closes and all of the assets are sold to pay back the unsecured creditors. With regards to the creditors that have a lien on any collateral, those creditors will receive their collateral.

Chapter 7 Bankruptcy tends to be the least expensive bankruptcy option. This is because the business either liquidates any non-exempt assets or closes down. If your business is considering filing bankruptcy and has the idea in mind for the business to remain open, it could be beneficial to look into Chapter 11.

Let’s cover the Chapter 7 bankruptcy option for individuals (i.e. your employees)

In a Chapter 7 bankruptcy, you generally have to qualify for the means test. This is in case you are filing as an individual. You may be wondering, “What is the bankruptcy means test?” The bankruptcy means test is a mechanism to help determine Chapter 7 qualification.

Filing a Chapter 11 Bankruptcy

As stated earlier in the article, Chapter 11 bankruptcy is a reorganization bankruptcy. Chapter 13 is also known as a reorganization plan, but it focuses on individuals more than businesses. That being said, the businesses are able to remain open with a Chapter 11 bankruptcy and restructure their existing debt. There are specific Chapter 11 guidelines that they must follow. That said, this can be a good option for businesses that need financial help and want to prevent closing.

What is a Chapter 11 Bankruptcy Sub Chapter 5?

There have been Chapter 11 subchapter 5 business bankruptcies filed, as it has become more of a streamlined way for businesses with a lower amount of debt to file bankruptcy. This bankruptcy can be used for a business to file bankruptcy and receive an allotted amount of benefits and still reach a Chapter 11 plan confirmation.

Chapter 7 and Chapter 11 Bankruptcy Fees

Filing a Chapter 11 bankruptcy can be an extremely complex process, that said, there can be a lot of fees and costs attached. The filing fee for a Chapter 11 bankruptcy is around $1,717. On the other hand, the Chapter 7 bankruptcy filing fee is generally around $300 or so. However, when a business files a Chapter 11 bankruptcy, there are more fees attached than just the filing fee, as there are attorney fees, Chapter 11 quarterly fees, and more.

When an attorney helps a business file a Chapter 7 bankruptcy, the fees attached really depend on the complexity of the case. While you may see a consumer Chapter 7 bankruptcy attorney fee range from $500 – $2,000, it can be completely different if there is extremely complex Chapter 7 business bankruptcy needing to be filed. You should be able to consult with an attorney to understand the costs and fees attached before making any next steps.

Deciding Between Chapter 11 and Chapter 7 Bankruptcy

Unfortunately, I won’t be able to give you a straight answer as to whether your business should file a Chapter 7 or Chapter 11 bankruptcy. However, I do want to provide you with some factors to consider:

  • The Business Sustainability
  • Amount of Debt
  • Type of Debt (Unsecured vs. Secured)
  • Ability to pay for bankruptcy costs
  • Do you want the business to remain open?
  • Chapter 7 bankruptcy is much more affordable

While there are more factors to consider when going through your case with a bankruptcy attorney, the factors above are a good starting place when deciding whether to file a Chapter 7 or Chapter 11 bankruptcy. As I have stated numerous times in this article, Chapter 11 bankruptcy is generally quite complex and it’s important to understand the long-term impacts and benefits by speaking with an attorney.

Chapter 11 bankruptcy and Chapter 7 bankruptcy both provide a consumer with a different form of financial relief. While Chapter 11 is more so a reorganization bankruptcy and can allow your business to remain open, it may be good to explore Chapter 7 bankruptcy as well given the important pros and cons attached. You may also consider bankruptcy alternatives.

Bankruptcy Affiliate Marketing Opportunities

Now that you understand Chapter 7 and Chapter 11 bankruptcy, let’s cover different affiliate marketing opportunities in this space.

1. Posting a Bankruptcy Calculator On Your Website

Ascend Finance provides the most robust bankruptcy and debt relief calculator. They also provide embeddable calculators that you can add to your website.

You can write articles covering certain bankruptcy topics and reach out to Ascend for an affiliate relationship agreement. When someone goes onto your blog or website and takes the calculator, you could get revenue for those transactions.

Ascend is probably the best option when it comes to Ascend bankruptcy marketing due to the structure that it already has in place for bankruptcy affiliate marketing.

2. Direct Bankruptcy Attorney Relationships

If you have a localized audience then direct bankruptcy attorney relationships can be useful. For example, if you have a huge audience covering Phoenix, Arizona and Google provide traffic for those searches. You can create articles specifically designed for those looking for bankruptcy in Phoenix and build direct attorney relationships.

If your leads are high quality, you could command between $25 – $100 per lead, potentially more.


Debt can be extremely stressful for individuals, especially if that entails a debt collection lawsuit, but consider that there are affiliate options available to those who look in this space.

Affiliate marketing opportunities in this space can be perfect if you want to help consumers overcome debt in a very helpful way.