Bankruptcy/Insolvency Unit 15

Well, aren't the effects pretty simple just from regularly watching the news or reading the papers? Loss of employment & income, damaged credit ratings if individuals, potential civil or criminal proceedings if there's any provable wrongdoing involved and possible disbarment from holding future directorships if convicted.

While the end effect is pretty much the same, bankruptcy usually affects individuals whereas companies are made insolvent, often with administrators appointed to temporarily run the latter when one has failed. If it can't be saved, they're usually liquidated with the remaining assets sold to appease outstanding creditors. Googling these terms should tell you when they apply and how they operate differently in practice and in finer detail.