Involuntary Cessation

When a business is forced to cease trading by the order of creditors (people that are owed money; usually banks)

Bankruptcy:

When an individual person is deemed unable to repay debts; typically occurs in unincorporated businesses (sole trader / partnership) with unlimited liability.

Liquidation:

Incorporated firms that have failed - are insolvent. 

This is the death of a company; a liquidator is appointed to sell off all assets of the firm  and pay creditors (banks, employees). 

Liquidators hope to sell assets to cover all debts, but usually only obtain a fraction of what is owing to creditors.

Involuntary Administration:

Administration can be involuntary (either by court order / creditors).

An administrator is a specialist firm that takes control over all operations. 

The main role of the administrator is to bring the business and its creditors together and to examine the business’ financial affairs.

The main aim is to turn the business around (renewal) so it can resume normal trading. If this is not deemed possible / desirable, this leads to liquidation.