Don't Burn Your Money
Even the biggest companies can make mistakes. It just seems that when it comes to the Personal Properties Security Register (PPSR) the message is not really as clear as it should be. (Please CLICK HERE for our last post on this subject)
Here is an example of how to burn $50 million by NOT taking proper advice and NOT paying $8 in registration fees to protect your assets.
Recently a US company, APR Energy, decided not to register a security interest on the Personal Properties Security Register (PPSR) for four gas turbines it had on lease to an Australian company. The Australian company, Forge Group, was placed into receivership in February 2014 while they were leasing four gas turbines from APR Energy. As reported by The Age, receivers of Forge Group are now trying to assert their right to gain control of the turbines to satisfy the debts of Forge Group. If they are successful APR Energy will be relegated to an unsecured creditor and may well get nothing from the liquidation of their customer.
It only costs $8 to register a security interest on the PPSR. It seems ludicrous to us that people in business would not want to make sure their valuable property is appropriately secured.
If you provide finance, supply, lease, hire or loan assets to third parties, we strongly recommend you obtain appropriate advice and consider registering your 'security' interest in the assets.
REMEMBER THE RULES HAVE CHANGED – POSSESSION REALLY CAN BE 90% OF THE LAW
Complete Business Strategies strive to provide pro-active solutions to help our clients maximise their hard earned profits. Please call us on 5439 1600 or CLICK HERE to make an appointment with one of our specialist advisers. Don't be too cheap to take proper advice, we don't want you to become the next newspaper headline.