Although the said person will have known about the fragile status of her Company, this situation may have gone on for some time with major creditors (banks etc) meeting on a monthly basis to decide whether to withdraw the Companies credit facility or allow it to continue. To give up at the first sign of trouble would mean most companies calling in the Receiver at some time in their existance. No company is rock solid and even Banks have gone bust but it is still hard news when it happens to you.
Sympathies to all.