Bankruptcy

The state of a person or firm unable to repay debts.


If the bankrupt entity is a firm, the ownership of the firm's assets is transferred from the stockholders to the bondholders. Shareholders are the last people to get paid if a company goes bankrupt. Secure creditors always get first grabs at the proceeds from liquidation.



An Overview Of Corporate Bankruptcy - As soon as you invest in a company, you face this risk. Find out what it means.

Z Marks The End - Investors need to know how to detect signs of looming bankruptcy. The Z-score can help.

GE Commercial Finance - The only corporate bankruptcy expert part of a Fortune 5 industrial giant.
Related Terms

Absolute Priority

Bankruptcy Risk

Bond

Chapter 11

Chapter 7

Discharge in Bankruptcy

Prepackaged Bankruptcy

Senior Security

Stalking Horse Bid

Stockholders Equity

Technical Bankruptcy

Vulture Fund

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