Closure of a company refers to the process of winding up or liquidating a company’s operations and officially dissolving it as a legal entity.
It could be either voluntary or enforced by the government or a court of law due to certain reasons such as insolvency or violation of laws and regulations.
In voluntary closure, the company directors or shareholders make a decision to close down the company, and in enforced closure, it is done through a court order or regulatory action.
The process of company closure involves settling all the liabilities, disposing of the assets, paying off creditors, and returning any remaining funds to the shareholders or owners.
