statutory winding up

Statutory winding up is a legal process through which a company's affairs are resolved and the business is formally closed down. This usually occurs when a company cannot pay its debts, and a court orders its liquidation. A liquidator is appointed to sell the company’s assets, pay off creditors, and distribute any remaining funds to shareholders. This process ensures that the company's financial obligations are settled in an orderly manner, providing a clear resolution for stakeholders involved. Essentially, it's a structured way to end a company's operations while addressing its financial responsibilities.