Selling & Insolvency
Companies need to have a basic understanding of Insolvency Law. When a company becomes insolvent there are two types of outcome; rescue, where the aim is for a part of the company to continue, and liquidation, when a company stops trading. Some companies will go through both of these procedures. This can happen when an administrator is appointed and sells the company’s primary business. Following the sale the administration ends and the company goes into liquidation.