business.govt.nz"
Search the register
Search this website
| Options Options
Search Type
Home > Learn about > Receiverships, liquidations and voluntary administrations > Differences between liquidation and bankruptcy
Welcome Guest. welcome , You last logged on at
Document Actions
 

Differences between liquidation and bankruptcy

 

Bankruptcy is a legal proceeding in which people who cannot pay their bills can get a fresh financial start. 

Bankruptcy is not a legal option available for companies. 

A company that is unable to pay its debts as they fall due, can be placed into liquidation either voluntarily or by court order.

Learn more about bankruptcy on the Insolvency and Trustee Service website.

 

Last updated 4 June 2013

Related content

Learn more about:

Receivership

Liquidation

Voluntary administration