Find out how you can protect your business when buying, selling, leasing or hiring out goods on the Companies Office’s new PPSR website.
If you’re buying, selling, leasing or hiring out goods, or selling goods on consignment, you could be putting your business, or a personal investment, at risk. What if a customer defaults, or on-sells goods before paying you what you’re owed? Would you get your property or money back? Do the goods you’re buying have money owing on them? Could they be repossessed?
You can’t avoid these everyday transactions, but there are ways to protect yourself. This is where the PPSR may be able to help.
Protecting your interests
The PPSR is effectively an online noticeboard where you can register a legal claim to personal property, and check if there is any debt or obligation attached to goods you may wish to buy.
The register helps businesses and individuals protect themselves financially, reduce investment risk, gain access to credit, and make better-informed financial and purchasing decisions.
If you’re selling goods on credit, you’ve probably signed a contract establishing your rights to the property should the customer fail to pay. But what if there are other creditors waiting in line?
Registration puts you in a better position to recover goods, or their value, should a customer default, giving you priority over creditors who’ve not registered an interest, and those who register after you.
Almost anything of value – excluding land, buildings and ships greater than 24 metres in length – can be used to secure the repayment of a debt.
CLICK HERE for more information and visit the PPSR at MBIE’s website