What does it mean in finance?
In the financial circles, "Wind Up" is a term that describes the processes and procedures used to settle the company's final accounts or other organizations that will soon cease to exist. In fact, this process includes the settlement of all outstanding dealers' accounts, paying any wages and salaries owed to employees, disposing of the company's assets and settling accounts for shareholders. The purpose of winding is to ensure that all matters of the company are settled in full before the entity turns off.
As part of the closing process of the company, the winding structure will often depend on the circumstances leading to the decision to stop the operation. In situations where the corporation is sold to another entity and is completely absorbed into the operation of the new owner, winding may include identifying a specific point in which suppliers are paid in full and employees receive their final reward from the old company than officially on the List of O.F the new owner. To shareholders can be the oneKé provided a specific point in which shares in an old company are exchanged for shares of a new company, or these shares are purchased in the purchase, which effectively settles the relationship with these investors.
If the company decides to completely stop operations, it will also return the need to manage all assets of all assets. In this scenario, all facilities operated by the company are closed according to a specific schedule and employees will receive their final reward at each location, until the last day of the operation of this place, along with any severance packages that are due. Assets associated with these places are then sold and funds to settle for any outstanding debts. Once all assets are sold and the proceeds are selected, investors are paid, AX pre -preloads are settled and the owners receive any balance remaining from the closure of the company.
Development of viableThe winding process involves identifying every task that must be completed before the enterprise or organization can be considered truly closed. The organization of these tasks in a logical sequence can help speed up the process, as certain events must occur before they can switch to other tasks. The preparation of the escalation plan for wind help allows you to gradually solve and effectively complete every task, which in turn means that society can terminate its affairs and stop existing without much difficulty.