Abstract
The article examines the scale of liquidation processes of enterprises in Ukraine. Among the key factors that should be considered while making a managerial decision to liquidate an enterprise are its financial position and performance, prospects of the company’s products, competitive status of the enterprise, as well as the owner’s willingness and ability to develop it, the possibility of legal prosecution, and constructiveness of the company’s creditors. The author provides the legal grounds for termination of a legal entity’s activities both in general and for certain types of business entities. The author presents the conceptual stages of voluntary liquidation of an enterprise with a description of typical actions. The author recognizes the duration of termination, expenses incurred and income received as the key parameters to be investigated in the process of decision-making and efficiency assessment of the enterprise liquidation. The author emphasizes the difficulty of predicting each of these parameters and the need for a thorough study of the legal requirements for certain stages of enterprise liquidation, which, if ignored, can significantly extend the duration of the process, increase the costs and losses for owners, and lead to a decrease in the level of payback of their investments. The main reasons for the delay in business liquidation include inspections of the company’s activities by state authorities, litigation in courts against the actions of the company as well as its counterparties, and difficulties in forming the liquidation mass. The article emphasizes the expediency of expanding the range of potential buyers through domestic e-sales systems and trading platforms. The author emphasizes the need for preliminary preparation of the process of company`s termination by arranging, first of all, labor relations and credit policy.
Published Version
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