In this PPT, we have discussed about the tips of liquidation and its types which will increase the competition or significant change the market.

1. Types of Liquidation of a
Company

2. What is Liquidation?
 The liquidation Is also known as winding up
process. It is legal term and refers to the
procedures through which the affairs of the
company are wound up by the law.

3. Types of Liquidation
 Compulsory winding up
 Voluntary winding up
 Supervision on by court

4. Compulsory Winding Up
 Its when occurs when a company is forced by the
law and mainly by the court order to appoint a
liquidator and sell off its assets and distribute the
proceeds to it’s the creditors.
 This process is often triggered by the company’s
creditors when they are unpaid and realize that
the company is insolvent.

5. Voluntary Winding Up
 The company may voluntarily wind up itself either
by the passing :where the purpose of which the
company was formed has completed or the time
for which the company has expired.

6. Advantages of Company
Liquidation
 Outstanding debts are written off
 Legal action is halted
 Leases are cancelled
 Staff can claims redundancy pay
 Avoid court process

7. Tips of Company Liquidation
 Sell your business liquidation stock early
 The stock is not as truth worthy
 Find out more about the stock buyers
 Try no to get emotionally involved in the process

8. Liquidation Final Statement of
Accounts
 The main purpose of the liquidator is to collect the
assets of the company & realize them & distribute
the money realized amount the right claimants.
 The liquidator is also required to prepare an
account known as the liquidator of the final
statement of the accounts after the affairs of the
company are fully wound up.

9. Function of Liquidator
 Secured creditors
 Distribute the money to creators in a strict order
of priority
 Realize the assets of an individuals in bankruptcy.

10. For Example:
 Klaus Garde Nielsen is a businessman who is
the founder and operates the business and
company of consultancy KGN, currently who lives
in Denmark.