The Questions Are the Same but the Answers Have Changed
Mr Einstein, walking down the hall of the university with two associates in 1945, was stopped by one of them: “Mr Einstein, I'm concerned — the exam you've set for the students this year is exactly the same exam as the one you set last year.” Einstein turned to him and said: “My learned friend, the questions are the same, but the answers have changed.”
It's true of every business and every service today. Business is more complicated and more challenging than ever, and we need to answer those challenges — taking action to protect our business and personal assets as our company grows. Life now moves at a pace where you can be outdated before you even start. Securing your assets has become the foundation stone of your business.
What used to be enough
Not that many years ago, it was quite safe to run a multi-director company because you believed that if something went wrong, you'd be protected and wouldn't lose your personal assets. These days, the world has changed — to protect yourself, you need to be a secured creditor over your own business.
What we call “being the bank”
It's not often that a bank completely loses out on a property transaction, because they hold the first registered mortgage over the assets. The bank gets paid because it has secured the loan — first mortgage security, and a registered charge over any related costs.
“What's that got to do with me? That's a bank — they're big, they know how to protect themselves.” These days, you need to have the assets within your company secured. You need to have the money you've put into your business secured. And you need a PPSR to register that security.
This gives you a safe place to stand if the storm comes — and it gives your business consultant, your accountant, and your solicitors tools to assist you.
Security gives you peace of mind, so you can get focused running your business.
Read more about how this works in practice: PPSR & secured creditor status, or talk to us about your own position.