How are you going bankrupt carrying so little wages?
He still has to pay salary floor, so it's not as little as you'd think.
But it is straight up mismanagement though. Dude runs a team of senior citizens each season and doesn't plan for long term success.
By comparison, I'm running a 1.2M salary team, and know exactly how many seasons I'm competing for. In a few seasons time, I'll have to sell up and go back to the drawing board, but that ain't yet. If it meant the future of the team was in jeopardy, I'd sell them all if I had to - and I'd get a pretty great return for them currently, since they're not 38 year olds that are hemorrhaging skill points like they're going out of style.