Solvent has two distinct meanings:

1. A liquid that dissolves other substances. Water is called the “universal solvent” because it dissolves more substances than any other liquid: sugar disappears into your lemonade, salt vanishes into soup, and soap mixes into bathwater all because water is an excellent solvent. Paint thinner is a solvent that dissolves dried paint. Nail polish remover is a solvent that breaks down the chemicals in nail polish. Scientists choose different solvents depending on what they need to dissolve: some substances dissolve in water, others in alcohol, and still others in more specialized liquids.
2. Having enough money to pay all your debts and bills. A solvent business earns more than it spends and can pay its employees and suppliers on time. When a company becomes insolvent, it means it can't pay what it owes, which often leads to bankruptcy. If you save your allowance carefully and can still afford the birthday present you planned to buy, you're staying solvent. When adults talk about staying solvent during tough times, they mean having enough money coming in to cover what's going out.