Company status

What does in liquidation mean?

Updated 2026-06

In liquidation means a liquidator has been appointed to wind up the company, deal with its assets and pay creditors in a set order. The company normally stops trading as usual.

Key facts

  • A defined legal process now governs the company assets.
  • Unsecured creditors are often paid after secured and preferential creditors.
  • It is a clear reason to take care before any new commitment.

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