If I buy a product from a company that has closed where (or for who) does this money of the sale go?
In: Economics
The debtors. When a company goes bankrupt, a bankruptcy manager is appointed to resolve as much of the legal obligations of the company as possible. That includes selling all remaining stock and assets to keep paying workers for the duration that they keep working till they are laid off and to pay back the debts the company has accumulated.
Usually not all debt can be paid back, so it is the bankruptcy managers duty to pay out according to the age and severity of the claim. A lot of laws need to be taken into account, a lot of negotiating needs to be done etc until the closure is final.
So if you buy the product from a bankrupt company it goes to those final financial obligations the company must fulfill, unless of course another company already bought that stock and the licensing rights to sell that for their own profit, that happens, too.
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