Local company seeks reorganization after liabilities climb to $3.5 million
Precision Manufacturing Group filed for Chapter 11 bankruptcy protection on May 4. The case was filed voluntarily in U.S. Bankruptcy Court for the Western District of Michigan.
Facility located on East Laketon Avenue
Precision operates a 24,000-square-foot facility at 2176 E. Laketon Ave. near US-31. It offers engineering services, metal fabrication, machining and welding services according to the companys website.
Bankruptcy filings show significant debt burden
Court documents show Precision has slightly less than $810,000 in assets. Its total liabilities exceed $3.5 million according to the filing.
The company owes more than $2 million to Byline Bank. Nearly $500,000 is owed to the Small Business Administration.
Bankruptcy allows continued operations
Chapter 11 bankruptcy generally allows the company to continue operating as it works to reorganize. The filing was first reported by Crains Grand Rapids Business.
Local impact remains to be determined
The bankruptcy filing could affect local suppliers and customers who work with Precision. No immediate impact statement has been released by the company.