An assignment for the benefit of creditors is commenced through a written assignment document that assigns and transfers all assets of the assignor to the assignee, who becomes the rightful party to liquidate the assets and wind-down the business. The assignee takes the assets of the assignor business subject to existing valid liens and encumbrances. An assignee typically sets up a separate bank account through which he or she administers the estate, collects receipts, and makes approved disbursements.