Company Liquidation

When a Company ceases its operations, all the assets of the company are distributed to the Shareholders of the Company after settlement of dues to creditors and lenders. However, there is much more to the process of liquidating a Company. The regulations are in place to ensure all parties involved are treated fairly and that one party does not benefit at the expense of others involved.

There are several reasons for a liquidation audit. Anytime a liquidation of a Company is called for irrespective of the reason, it is important that all the Company’s assets are accounted for. It is just as important to discover and list all of the Company’s obligations. A liquidation audit report will list the assets and liabilities of the Company and should preclude any objections from creditors. As the liquidation progresses, all the Company’s assets are converted to cash and distributed to the creditors or assigned to other Company obligations. There are specific rules concerning the way the assets are distributed. It is extremely important that all the relevant information is available to Auditro Associates Chartered Accountants as the liquidator. Our liquidation audit helps assure the information is accurate and complete.