Blackpoint Capital LLC, a Broward County-based pre-settlement financing lender, has filed for Chapter 11 reorganization in U.S. Bankruptcy Court in Fort Lauderdale. The filing, made on July 31, reflects significant financial distress for the Dania Beach company, which also operates under the name Blackpoint Funding LLC.
Financial Overview
The company’s bankruptcy petition reveals that Blackpoint Capital is facing $1.1 million in debt against $1.15 million in assets. The primary reason for seeking bankruptcy protection is pending litigation from multiple creditors. The firm’s largest creditor, Frank Zimmerman of Fort Lauderdale, is owed $347,000.
As of the bankruptcy filing, Blackpoint holds $54,200 in cash within a Chase business checking account, with the remainder of its assets listed as accounts receivable. All liabilities are categorized as unsecured claims, with several individual creditors, including Fort Lauderdale attorneys Alan Schlesinger and Warren Peebles. Schlesinger is owed $335,000, while Peebles is owed $200,000. Both attorneys had previously sued Blackpoint in Broward County Court over alleged unpaid principal loan amounts.