Hey Landlords, PPSR Made Simple!
In my latest video, I dive into the PPSR and break down your must-know obligations. Since my last video on this topic, I've been getting some great questions from clients—questions you all need answers to!
Take a couple of minutes to watch the video and get the lowdown.
Got questions? Just shoot me or the team an email.
And if you know anyone—a friend, client, or fellow landlord—who could use this information, feel free to share!
VIDEO TRANSCRIPT
Ross Millen:
Hi. The other day, I was mentioning registering an interest on the PPSR. This was for landlords if they held a cash security deposit from their tenant. But I had a couple of people ask me a few questions about the PPSR. And basically, it's a register run nationally where anyone who has a security interest, not in land, but in personal property, can register that so third parties dealing with a company or an individual can know that certain assets have encumbrances or charges or security interests registered in respect of them.
Now, if you don't register your security interest, then you are going to have that defeated by someone who deals with the property owner not knowing that you've claimed a security. So it's very important to understand when you have a security interest, and very important to register it properly. So one of the typical areas that I see where people miss out is where you're selling goods on credit to someone. You've delivered the goods, but you haven't been fully paid yet. You retain a security interest according to your terms and conditions of sale if they're properly drafted in what you've delivered but haven't been paid for. And you need to register that. If you don't register it, you lose your interest if the person doesn't pay or goes broke.
But the other important thing about registering your security interest is whether you're dealing with a company or a trust. With a company, you use their Australian Company Number, the ACN. But if it's a trust, you have to use their business number, their ABN. And if you don't do that, your registration could be invalid. It's very important when you're buying assets or buying a business to make sure that you search the PPSR register for the vendor and also for the company or the business that you're buying to make sure that you get details about all the security interests and you make sure they're discharged.
So if you've got any queries about when you have a security interest, how you properly register your security interest, or how to buy assets and make sure the security interests have been discharged, contact me or anyone else at Millens. We're here to help. We're here to solve your business problems. Thank you.
