Liquidation means a limited company is wound up: assets are sold, debts are paid and what remains is distributed to the shareholders. The company is then dissolved.
Liquidation can be voluntary (decided by the general meeting) or compulsory, for example if the share capital is depleted. Until dissolution, the share ledger must be kept up to date.
Compulsory liquidation means a limited company is wound up by decision of Bolagsverket or a court.
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A limited company is a business form that is its own legal entity and is owned through shares.
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The general meeting is the highest decision-making body in a limited company, where shareholders make decisions.
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Share capital is the capital the shareholders contribute to a company in exchange for shares.
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