The assignee’s primary job is to maximize the value of the assigned assets for the benefit of creditors. How they approach asset sales — whether through auction, private sale, going-concern sale, or piece-by-piece liquidation — significantly affects creditor recoveries.
Sale Strategies
The assignee must choose between: a going-concern sale (selling the business as a functioning operation to a buyer), an auction (competitive bidding on individual assets or the whole estate), a private negotiated sale (targeted outreach to strategic buyers), or liquidation (selling assets at their distressed value). The right approach depends on whether the business has goodwill, customer relationships, or intellectual property that has value only in a going-concern context.
Going-concern sales typically produce the highest creditor recoveries. A business that can be sold as a functioning operation — with employees, customers, contracts, and systems intact — is worth more than the sum of its liquidated parts. Assignees who move quickly to preserve going-concern value, before employees leave and customers find alternatives, produce significantly better outcomes.
The California ABC System gives business owners and creditors the exact tools, templates, and step-by-step guidance to navigate an Assignment for Benefit of Creditors — faster and cheaper than bankruptcy, without a federal court filing. Request your free evaluation here.
California ABC System — Assignment for Benefit of Creditors 
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