This is the general order of priority for payment of dividends (S435 CA):

• Rates and taxes
• Cost and expenses of winding up
• Preferential debts e.g. wages/salaries, workmen’s compensation/leave entitlement
• Floating charges e.g. debentures (secured charge)
• Ordinary unsecured creditors e.g. judgment creditors, general body of creditors
• Members/shareholders (only when creditors have been paid in full)