A Cursory Look At The Abcs In The Voluntary Liquidation Process

A Cursory Look At The Abcs In The Voluntary Liquidation Process Liquidation will be the business process in which owners go ahead and take necessary steps to chill trading and other business operations and dispose assets to pay off existing financial... More

A Cursory Look At The Abcs In The Voluntary Liquidation Process Liquidation will be the business process in which owners go ahead and take necessary steps to chill trading and other business operations and dispose assets to pay off existing financial obligations. Liquidation may be voluntary or compulsory. The latter normally happens when the business fails and creditors initiate move for such compulsory liquidation through court intervention. On the other hand, voluntary liquidation may occur for several reasons. Paying off creditors is one kind of the number of explanations why voluntary liquidation occurs. Some other reasons include: • Failure of economic, though not really in the point that may warrant compulsory liquidation • Stakeholders choose to cease operations and carry on their separate ways • Current owner/proprietor intends to retire from business and possesses no apparent heir or relative who are able to take over the reins from the business • Urgent requirement of c Less