I think what the OP was trying to say is that there is only one reason that a a business can fail in the legal sense... If you can't pay your bills any more you

I think what the OP was trying to say is that there is only one reason that a a business can fail in the legal sense... If you can't pay your bills any more you have run out of liquid assets (which basically means running out of cash) and you are forced to shut down your business. What you describe isn't a failed business but a business that has been given up on.