Implications of liquidating dating depot

Rated 4.36/5 based on 649 customer reviews

When investors redeem mutual fund shares, the process is very simple. Instead, the shares are priced at the close of the market at 4 p.m., when their net asset value (NAV) is calculated.

Mutual funds typically keep cash reserves to cover investor redemptions so that they will not be forced to liquidate portfolio securities at inopportune times.

"A man in the pub said I cannot be a director of any other company if I liquidate my company. As a result of this rubbish, many struggling directors worry about liquidating their company as they think it might seriously affect them personally. Listening to bar room experts, inexperienced accountants or lawyers or marketing people can stop decisions being made, this failure to make a decision is really what could land you in trouble.

This nonsense just highlights that people make things up all the time about subjects they have little knowledge of.

Pansegrouwn the event that a director acted grossly negligent or fraudulent in his capacity as director, it is also possible for the corporate veil to be lifted by a court, rendering the director personally liable. WHAT THIS PROCESS MEANS FOR YOUR EMPLOYEES According to Pansegrouw, the business’s liquidation does not terminate employment contracts.

It is up to the liquidator to decide whether to do so, and this decision must be in line with the Labour Relations Act 66 of 1995, Basic Conditions of Employment Act 75 of 1997, and the Insolvency Act 24 of 1936.

There are consequences that can be triggered when mutual fund shares are redeemed, yet many investors are not aware of these events.The action described above can be regarded as wrongful trading; if a liquidator can prove there was wrongful trading then, you are at much increased personal risk. A classic example of wrongful trading is taking credit from a supplier or taking deposits from customers when you know that it is unlikely that you can pay them back.Voluntary liquidation is the quickest most efficient way to deal with an insolvent company that has no future.The liquidator is then tasked with making a decision, within a reasonable period of time, whether or not he or she intends to abide by the contract or terminate it, depending on what would be most beneficial to the creditors.Pansegrouwhould the liquidator elect to terminate the contract, the other contracting party has a monetary claim against the insolvent estate as a concurrent creditor (creditors who do not hold any security). REMEMBER DIRECTOR AND SHAREHOLDER LIABILITY Directors and shareholders should be especially cautious when the business undergoes liquidation because they will still be liable for debt for which they have signed surety.

Leave a Reply