human
What is the difference between "liquidation" and "bankruptcy"?
assistant
The main difference between liquidation and bankruptcy is that liquidation is the process of selling off assets in order to pay off debts while bankruptcy is a legal process to help people, businesses, and other entities to restructure their debts and repay creditors over time. In liquidation, the assets are sold off to pay the debts, while in bankruptcy, the debt is restructured and organized in a repayment plan.