This guidance outlines the various classifications of insolvency that UK businesses may encounter, including cash flow insolvency and balance sheet insolvency. The information is relevant for customs and logistics professionals who need to understand how insolvency status affects trading relationships, payment security, and customs compliance obligations. Familiarity with these distinctions helps traders assess financial risks and maintain appropriate due diligence procedures with suppliers and customers.
Source: HMRC (GOV.UK) – Read the original