Bankruptcy reorganization means giving enterprises a chance to save themselves. Debt restructuring includes debt conversion into capital and debt repayment with assets. According to relevant laws and regulations, creditors, debtors and legally qualified shareholders can apply to the people's court for reorganization when the court declares property rights. The debtor shall propose a reorganization plan within the statutory time limit.

There are four differences between bankruptcy reorganization and bankruptcy reorganization, namely:

1, with different definitions. Reorganization is not a strict legal concept, but an agreed title;

2. Different autonomy. The reorganization led by the court belongs to the reorganization within the court and is bound by the legal framework;

3. The degree of judicial protection is different. Reorganization, because it is not a legal procedure and there is no judicial protection;

4. The cost is different. Reorganization, because it is not a legal procedure, there is no legal cost. Reorganization and bankruptcy reorganization procedure is a kind of litigation procedure, which inevitably has certain legal litigation costs, but at the same time it also has benefits.

Legal basis: Article 2 of the Enterprise Bankruptcy Law of the People's Republic of China.

If an enterprise as a legal person is unable to pay off its due debts, its assets are insufficient to pay off all its debts or it obviously lacks solvency, it shall clear up its debts in accordance with the provisions of this Law.

An enterprise as a legal person may be reorganized in accordance with the provisions of this law if it has the circumstances specified in the preceding paragraph or obviously loses its solvency.