Preparation is key when assisting clients with PPSR
Every day organisations may be putting their business at risk when buying, selling, leasing or hiring out goods, or selling valuable goods on consignment. This is why the Federal Government introduced the Personal Property Securities Register (PPSR).
The national online noticeboard provides information on whether someone is claiming an interest against goods or assets.
It also means that organisations can register an interest in goods they are supplying so, in the case a customer doesn’t pay or goes broke, their business is in the best position to get the goods (or their value) back.
It’s imperative, then, that accountants establish risk management systems to assist their clients in minimising their potential exposure to problems regarding the PPSR.
Since the PPSR began in 2012, over $400 million has been lost by Australian businesses primarily through ignorance of its effects.
Small and medium enterprise clients are encouraged to be proactive, and often require assistance from their trusted advisors to help safeguard them from losing valuable assets and business failures.
Thankfully, AMD can recommend key strategies to help our clients.