Liquidated

The term 'liquidated' refers to the process of converting assets into cash or cash equivalents to satisfy debts or obligations. This often occurs during bankruptcy proceedings or company dissolution, where a firm's assets are sold off to clear outstanding liabilities. Furthermore, it can also imply a decisive resolution or settlement of a financial situation.

Liquidated meaning with examples

• After months of financial struggles, the company was finally liquidated, selling off all its assets to pay creditors and close its doors for good.
• In the event of death, an estate may be liquidated to distribute assets among heirs, ensuring all debts are settled before any inheritance is passed on.
• The court ordered that the assets of the failing business be liquidated quickly to maximize returns for the investors who had lost their initial capital.
• Investors were wary of putting their money into the startup, as its previous iteration had been liquidated within a year due to mismanagement and excessive debt.
• To avoid bankruptcy, the firm decided to liquidate part of its inventory at significantly reduced prices, hoping to recover some cash flow during the troubling financial period.