Indiana Plan of Reorganization for Small Business Under Chapter 11 is a relatively new bankruptcy restructuring plan that was created to provide a simplified and more cost-effective alternative to the traditional Chapter 11 reorganization process for small business debtors. This plan is designed to provide relief to small business owners who are struggling to remain afloat, while also protecting creditors from losses. Under the Indiana Plan of Reorganization, the debtor is allowed to restructure its debts and continue operating the business. This plan is available only to small businesses with total liabilities of $2,500,000 or less. The Indiana Plan of Reorganization for Small Business Under Chapter 11 requires the debtor to submit a reorganization plan to the court that outlines the proposed repayment of creditors in full or in part. The court must approve the proposed plan before it can take effect. This plan also provides for the appointment of a trustee to oversee the reorganization process. There are two types of Indiana Plan of Reorganization for Small Business Under Chapter 11: the “ordinary” plan and the “flexible” plan. The “ordinary” plan requires the debtor to file a reorganization plan, which is subject to court approval. The “flexible” plan allows the debtor to submit an “out-of-court” reorganization plan, with the court’s approval required only if a creditor objects to the plan. Both plans allow for the debtor to remain in business while repaying creditors.