Liquidators are generally assigned by the court, by unsecured creditors, or by the company's shareholders. They are often employed when a company goes bankrupt. Once the liquidator is assigned, they will then take over control of the person or organization's assets.

A liquidation sale is the process of selling the assets of a business in an orderly fashion over a period of time in order to achieve values that are close to market value. Liquidation sales are similar to store closings, when a store sells its remaining inventory.