Understanding financial concepts is critical for non-profit board members, and in this episode, we break down two essential yet often confused terms: illiquidity and insolvency.

These financial states can significantly impact an organisation's ability to fulfil its mission, and knowing the difference is key to proactive management.

We cover:

• The distinction between illiquidity (short-term cash flow challenges) and insolvency (a deeper, long-term financial issue)
• Real-world examples of non-profits facing these issues
• Strategies for boards to manage illiquidity and prevent insolvency
• The importance of aligning operations with financial realities and building reserves
• How to use financial metrics to anticipate and mitigate risks

Join us as we explore the proactive measures that non-profits can take to remain financially resilient and continue making a positive impact.

If you want to streamline your board's administration then don't forget to check out the ⁠Our Cat Herder Board Portal⁠.