Corporate Debtors

A corporate debtor is a company or organization that owes money to creditors and is unable to pay its debts on time. When facing financial difficulties, the company may enter into a legal process called corporate insolvency or bankruptcy, where its assets are evaluated and managed to satisfy outstanding debts. Essentially, the corporate debtor is the entity that owes money and is undergoing formal proceedings to resolve its insolvency issues, aiming to either restructure or liquidate its assets to repay creditors.