liquidation

[lik-wi-dey-shuhn]

noun

1. the process of realizing upon assets and of discharging liabilities in concluding the affairs of a business, estate, etc.

2. the process of converting securities or commodities into cash.

3. the state of being liquidated.

   an estate in liquidation.

liquidation

/ ˌlɪkwɪˈdeɪʃən /

noun

1. 1. the process of terminating the affairs of a business firm, etc, by realizing its assets to discharge its liabilities

   2. the state of a business firm, etc, having its affairs so terminated (esp in the phrase to go into liquidation )

2. destruction; elimination

liquidation

1. The conversion of the assets of a firm into cash, often just before the firm goes out of business.

Other Word Forms

• nonliquidation noun
• preliquidation noun
• reliquidation noun

Word History and Origins

Origin of liquidation¹

First recorded in 1565–75; liquidate + -ion

Example Sentences

In September, auto-lender Tricolor Holdings filed for a Chapter 7 liquidation.

Read more on The Wall Street Journal

Tricolor, which filed for liquidation under Chapter 7 of U.S. bankruptcy code, is considered a nonbank financial firm because it extended credit to borrowers.

Read more on Barron's

A small business owner has had to close her shop and go into liquidation because of rising costs and a fall in customer spending.

Read more on BBC

Earlier this month, China South City Holdings was handed a winding up order by Hong Kong's High Court, making it the biggest developer to be forced into liquidation since Evergrande.

Read more on BBC

Liberty Steel said the decision to put the firm into compulsory liquidation was "irrational".

Read more on BBC

Related Words

• clearance 
• destruction 
• eradication 
• expulsion 
• removal 
• withdrawal