Dont Get Shortchanged by a Liquidating Business

Several major companies have already filed for bankruptcy during the novel coronavirus (COVID-19) crisis and many more large and small businesses are expected to follow suit.  Don't get shortchanged by a liquidating business. If you’re a creditor of a company that’s liquidating, it may be challenging to get back what you’re owed. That’s where a solvency opinion can help. An expert determines whether the company could meet its long-term interest and repayment obligations when it made — or didn’t make — payments to creditors. Examining the subject Solvency experts consider many issues when examining a business. But ultimately, the outcome of three tests enable an expert to determine solvency: Balance sheet. At the time of the transaction at issue, did the subject’s asset value exceed its...