Bankruptcy Case
Bankruptcy is the liquidation of all assets of a merchant who cannot pay debts and distribution to creditors.
Bankruptcy Routes
- Tracked Bankruptcy: As a result of execution proceedings by creditor
- Non-tracked Bankruptcy: By debtor's own application
- Direct Bankruptcy: Application to court under certain conditions
Bankruptcy Estate
With the bankruptcy decision, all assets of the debtor pass to the bankruptcy estate and are managed by the bankruptcy administration.
Concordat
Instead of bankruptcy, concordat can be requested for debt restructuring. This allows the business to continue operations.