
Bankruptcy Remote Entity
A bankruptcy remote entity is a specialized legal company created to isolate specific assets or projects from a company's overall financial risks. Its main purpose is to protect those assets from claims in the event the parent company faces bankruptcy or financial trouble. This structure ensures that the assets remain secure and operationally separate, making them more attractive to investors or lenders. Essentially, it acts as a financial safeguard, reducing the risk of losing valuable assets due to the parent company's potential insolvency.