definition of solvency

The Immutable Laws of Solvency

We need to cut up our credit cards now! When I was in corporate banking, the definition of solvency that I used was ‘the ability to meet your debts as they fall due.’ This means that avoiding insolvency depends upon: the ability to meet all your expenses from current cashflow or that you have headroom [...]

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The Road To Financial Freedom

The rules for achieving complete financial freedom are simple: 1. Become completely debt free – yes, including your mortgage 2. Maximise your personal income – preferably from several sources 3. Minimise your outgoings – review regularly and trim hard 4. Minimise your responsibilty to support others financially 5. Start your own business – this site [...]

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