Voluntary and involuntary winding up of a company.

Voluntary and involuntary winding up of a company.

1). Involuntary winding up refers to Compulsory winding up of the company. It may be initiated by creditors or contributories of the company or sometimes by the company itself by petitioning the Court for compulsory winding up. 

2). Voluntary winding is governed by section 221 of Cap.212. it is opted when the creditors of the Company and other interested parties decide to settle their affairs in an amicable manner instead of taking up the matter before the court