Court documents show LIV estimates its assets at $100m-$500m (£74m-£370m) and its liabilities at between $500m and $1bn (£370m-£739m).
Plans are for LIV 2.0 to be “built around a sustainable business model”.
It is unclear at present how many of LIV’s existing players may decide to stay.
While LIV bosses are hopeful of being able to transition to a “new era” early next year, both the bankruptcy filing and the first court hearing in the US on Wednesday highlighted the critical issue of player retention, with tight timescales and significant criteria to be met.
There are a number of “key milestones” ahead, including that within 35 days of the bankruptcy petition, a “requisite number of players” need to have entered into the restructuring agreement.
Further down the bankruptcy documents, it is explained: “‘Requisite players’ means players holding eligible player claims… that equal or exceed (a) 2/3 in amount and (b) 1/2 in number of such eligible player claims held by all players.”
Essentially, half of all players with claims against LIV Golf need to have signed up for LIV 2.0 by mid-October.
And there will need to be several top players among them, as they are the ones who are owed the most money.
Rahm topped the list of unsecured creditors, being owed $7.5m (£5.5m) in Q3 of this year, while the next four spots were filled by DeChambeau, Dustin Johnson, Cameron Smith and Adrian Meronk.
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