Answer: Under any personal guarantees that they may have given, any insolvent trading court orders, issuance of a ATO Directors Penalty notice (non lodgement and payment of superannuation and PAYG tax instalments) are the most common, this list is not exhaustive.
Answer: If a Liquidator can prove that you as a director are trading whilst insolvent, they can then go after your personal assets to satisfy the company debts.
Answer: This occurs when the business continues to trade when it cannot pay its debts if and when they fall due.
Answer: When a business is unable to meet its debts if and when they fall due, then the business is considered insolvent. There can be various reason for this including limited cash flow, debt repayment exceeds operating income or low capital or equity reserves.