The issue is that this process can take a long time and often doesn’t help creditors get their money back.
When a business is in financial trouble and can’t pay its debts, it might go into liquidation. This means the company is closed down and its assets (things it owns) are sold to pay off its debts. Sometimes, instead of selling everything piece by piece, the business is sold as a whole to keep it running.
This is called a “going concern sale.”
The concept of “going concern sales” in liquidation has sparked significant debate. Essentially, it involves selling a company as a whole, rather than breaking it up and selling its assets individually. This approach aims to preserve the business’s value and potentially save jobs. However,…
