ABSTRACT
Liquidation is to companies what bankruptcy is to individuals. The essential considerations are the same. In particular: ❍ the threat of liquidation, in the form of a statutory
demand, is usually more effective than the proceedings themselves, and much cheaper;
❍ liquidation proceedings are not suitable where the debtor has genuine grounds for disputing your claim;
❍ liquidation does not get you to the front of the queue of creditors.
