An excepted nonfinancial start-up company is a non-financial entity that has been in existence for less than 24 months and has not yet commenced business operations. An excepted nonfinancial entity in liquidation or bankruptcy is a non-financial entity that is in the process of being liquidated or has filed for bankruptcy. The primary difference between the two lies in their current business status. A start-up company is yet to begin operations, while an entity in liquidation or bankruptcy is ceasing operations.