How to Recognize if Trading Insolvent
The Committee is responsible for overseeing the financial affairs (and financial health) of the Club or Association. If a Club or Association is trading while insolvent, it means it is continuing to operate and enter contracts or incur debts it cannot repay. It is the responsibility of all committee members to ensure the association does not trade if it is insolvent. There are significant penalties for allowing your Club to trade while insolvent.