Liquidate Equipment or Commercial Junk Removal?While a business will still be allowed to collect its own receivables, to formally close out the entity, it must liquidate assets, such as furniture and equipment. If these are leased, these items are simply returned to the lessor, or, the company from which the items are rented.
When you decide to close down your business, you’ll need to “liquidate” the business’s assets. In plain English, this means you’ll want to turn your remaining business assets, such as office equipment, tools, and furniture, into cash to pay your creditors—or in a best-case scenario, to put in your pocket. —Nolo.comHowever, if a business owns its equipment, it can sell said equipment to pay any outstanding vendor bills. But, if this equipment is otherwise worthless, it might have to just be junked. And, that’s not without its own set of challenges. The fact of the matter is, even during robust economic times, most companies will look for new or slightly used equipment. In other words, most companies prefer to go with new stuff simply because of the warranties. Of course, it also has the benefit of never being used. So, it’s more attractive from the get-go.