Define: Zombie

Business, Legal & Accounting Glossary

Definition: Zombie



What is the dictionary definition of Zombie?

Dictionary Definition


A company that is insolvent but continues to operate. This may be the case before a bailout or restructuring occurs.

Also:

  1. A snake god or fetish in religions of West Africa and elsewhere.
  2. voodoo, superstition A person, usually undead, animated by unnatural forces (such as magic), with no soul or will of his/her own.
  3. fiction A deceased person who becomes reanimate to attack the living.

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Full Definition of Zombie


The term “zombie” refers to a company that is insolvent or facing bankruptcy, but is still operating as it awaits the subsequent merger or foreclosure. A zombie, in the traditionally haunting sense, is a living corpse; a zombie is associated with “the living dead.” A zombie company is considered to be in a figurative state of “living but dead” because it is not expected to continue operating, despite its ability to do so now. A zombie company may be in or close to filing for bankruptcyChapter 11 – which allows a company to continue operating while it restructures its debt. A zombie company is typically considered a risky investment, so investors may choose to avoid a corporate zombie just as they would avoid a supernatural zombie. Of course, as with many investments, the higher the risk, the higher the potential payoff.


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Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/zombie/
Modern Language Association (MLA):
Zombie. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. April 06, 2020 https://payrollheaven.com/define/zombie/.
Chicago Manual of Style (CMS):
Zombie. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/zombie/ (accessed: April 06, 2020).
American Psychological Association (APA):
Zombie. PayrollHeaven.com. Retrieved April 06, 2020, from PayrollHeaven.com website: https://payrollheaven.com/define/zombie/

Definition Sources


Definitions for Zombie are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 4th February, 2020