The rehabilitation plan may be accepted because of the following:}

- Expenses of liquidation may consume a large proportion of the assets.

- The going-concern value of a firm is always substantially greater than its liquidating value. Hence, to preserve the life of the firm is to preserve a substantial portion of its value.

- They may retain a stable customer for the future.

- On balance, the creditors will accept a plan for financial rehabilitation because it appears that the funds they will receive will be much larger under this procedure.