If you have not taken proper steps to protect the credit you have given your money usually goes up in smoke or into the hands of those creditors who did protect themselves.

If lending to a company you should:

1. Do proper credit checks on the company.  Has it got an established good credit history?
2. Get personal guarantees from people who can meet the debt if the company does not.

Lending money to a company which is already in trouble or has no substance is an act of charity.  Taking guarantees from people with no means to pay is pointless.

If a company is in trouble several things may happen:

1. It can trade its way out.
2. It can reach a compromise with its creditors to pay a % of each debt.
3. A receiver can be appointed by a creditor if the company has given them that right.  This is a secured creditor who gets an early slice of the proceeds.  The receiver works only for that creditor and not others.
4. A liquidator can be appointed.  The liquidator collects assets for the benefit of all creditors but secured creditors, IRD, wages and the liquidator still get paid first.

You can provide information to the liquidator to assist in finding as many assets as possible.  The best protection is a guarantee from a person with the assets to pay.  Usually you have to get this guarantee at the time the account is opened or goods are sold not afterwards.