1. Liquidator: An individual appointed to oversee the liquidation process, responsible for realizing assets, settling debts, and distributing proceeds to creditors. See more Understand Approved Liquidators’ Requirements before Taking Liquidation Services in Singapore
2. Voluntary Liquidation: The winding up of a company initiated by its directors or shareholders, typically due to insolvency or the completion of business objectives.
3. Compulsory Liquidation: The court-ordered winding up of a company, usually due to insolvency or failure to meet financial obligations.
4. Insolvency: The state in which a company is unable to pay its debts as they become due or has liabilities exceeding its assets.
5. Receivership: A legal process in which a receiver is appointed to take control of a company’s assets and operations to satisfy outstanding debts.
6. Creditors: Individuals or entities to whom the company owes money or has financial obligations.
7. Shareholders: Owners of the company who hold shares representing ownership interests.
8. Debenture: A type of debt instrument issued by a company, often secured against its assets, which grants the holder a fixed interest payment and repayment of principal upon maturity.
9. Winding Up Petition: A legal action filed by a creditor or shareholder seeking the winding up of a company due to insolvency or failure to pay debts.
10. Statement of Affairs: A document detailing the assets, liabilities, and financial position of a company, prepared by the directors or liquidator.
11. Proof of Debt: Documentation submitted by creditors to support their claims for repayment from the liquidation proceeds.
12. Preferential Creditor: A creditor with priority status in the distribution of assets, such as employees owed wages or taxes owed to the government.
13. Secured Creditor: A creditor holding security or collateral against the company’s assets to secure repayment of debts.
14. Unsecured Creditor: A creditor with no specific security or collateral for the debts owed, typically ranking lower in priority for repayment.
15. Liquidation Dividend: The distribution of funds to creditors from the proceeds of asset realization during the liquidation process.
16. Final Meeting: The concluding meeting of creditors and shareholders to approve the liquidator’s final accounts and the distribution of remaining assets.
17. Provable Debt: A debt that can be legally claimed by a creditor in the liquidation process, subject to verification and approval by the liquidator.
18. Liquidation Committee: A committee appointed to oversee and assist the liquidator in the administration of the liquidation process, comprising creditors or shareholders.
19. Liquidation Order: A court order officially commencing the liquidation process of a company, typically issued in cases of compulsory liquidation.
20. Asset Realization: The process of selling or disposing of a company’s assets to convert them into cash for distribution to creditors.
21. Interim Dividend: A partial distribution of funds to creditors during the liquidation process before the final distribution is determined.
22. Preferential Payment: Payments made to certain creditors with priority status, such as employees’ wages or taxes owed to the government, ahead of other creditors.
23. Floating Charge: A type of security interest or lien over a company’s assets that may be sold or disposed of in the ordinary course of business.
24. Liquidation Costs: Expenses incurred during the liquidation process, including professional fees, administrative costs, and disbursements.
25. Voidable Transaction: A transaction that may be set aside or voided by the liquidator if it unfairly prejudices creditors or improperly transfers assets out of the company.
26. Liquidation Report: A document prepared by the liquidator detailing the conduct of the liquidation process, including asset realization, creditor claims, and distributions.
27. Disqualification Order: An order issued by the court disqualifying an individual from acting as a director or taking part in the management of a company, typically due to misconduct or incompetence.

These key terms are commonly used by stakeholders involved in the liquidation process in Singapore. By familiarizing yourself with these terms, businesses, creditors, shareholders, and Singapore liquidators can navigate the complexities of liquidation with confidence and understanding.