When you cannot pay the bills as they fall due, or the company’s total liabilities exceed its assets, your company is insolvent. At this point you would need to cease trading, and place the interests of creditors first. To do otherwise leaves you open to allegations of wrongful trading, and the potential for personal liability as a director. The loss of a major customer, a decline in your market, or an unexpected tax bill, can all have catastrophic results if you don’t have enough cash and are not prepared. A good accountant will help you spot the early signs of insolvency and recommend an insolvency practitioner if required.