The IoD website has recently experienced a security breach. Currently this is affecting payments when using a credit card on the website. If you wish to book a course or event, an invoice will be sent to you and payment can be made via internet banking or our phone credit card payment service 0800 846 369. IoD members can find updates on the breach here.

Solvency test checklist for directors

type
Guide
author
By Institute of Directors
date
1 Apr 2020
read time
3 min to read
balls balancing on seesaw

The IoD has developed a checklist for directors which sets out considerations in the following areas for assessing solvency:

  • Profit projections
  • Cashflow budgets
  • Ability to realise current assets, particularly inventories and receivables
  • Ability to comply with normal terms of credit
  • Possibility of withdrawal of financial support by major lenders
  • Contingent liabilities.

Related content