A Shepparton accountant is concerned people are not aware of a government law to protect businesses that lease or seel assets to companies that are then liquidated.ASHLEIGH WILLIAMSON February 15, 2013 8:50am
A Shepparton accountant is concerned people are not aware of a government law to protect businesses that lease or sell assets to companies that are then liquidated.
Brown Baldwin Accountants director Matthew O’Bryan said the Personal Property Securities Act was officially introducted in January last year.
Mr O’Bryan said the law insured business assets if a company was liquidated and could not pay for items bought or leased.
He said the law also applied to people who leased or sold an asset.
‘‘It’s anything that’s tangible, other than land,’’ he said.
Mr O’Bryan said the asset protection was not being used enough.
‘‘I went and told people who aren’t clients, just business people around Shepparton, because .
‘‘A lot of companies are financially doing it tough at the moment, so it’s probably an environment where they do need to protect themselves.’’
Mr O’Bryan said businesses or people needed a written agreement and to enter details of an asset lease or sale on the Personal Property Securities Register to access protection.
‘‘That might just simply be terms and conditions or it might be an actual agreement — they need to sign something,’’ he said.
‘‘It’s a small cost. Depending on what someone is doing, it can be $10, $20, $30.’’
Mr O’Bryan said businesses and liquidators needed to be educated about the law.
‘‘It can save a business,’’ he said.
‘‘I think part of it is that people, by nature, think that if someone sells something to someone, they still own it until they get paid. It’s not the case.’’
Mr O’Bryan said not accessing the protection had an increased impact on businesses in country towns.
‘‘In metropolitan (areas), it’s probably more transactional .
‘‘It sounds harsh, but there’s probably a little bit too much trust in some situations.
‘‘I’ve seen it before where one company isn’t protected and goes down, which then has a severe impact on the next one.’’
Shepparton Christian College Year 9 student Aimee Stanyer had a personal motivation to start fundraising for Ronald McDonald House.
The under 16 Pigeons kick started the YFNC's finals campaign with a resounding victory over the Paul Spargo led Scots College in the Grand Final of the AWJFL Elwyn Langford Shield at the Albury Sports Ground on Sunday.
Greater Shepparton City Council was successful in securing the National Cutting Horse Association Victorian Futurity Cutting Horse Championships for 2014 and 2015, with this year’s event scheduled from September 10-14 at Tatura Park.
LBU win through to fifth consecutive grand final, Eagles fly into MFL semi while Weeks bags 14 in GVFL
Julie Sands and Sheridan Clark have been kept busy, visiting Rochester recently yo dispense free coats to residents.
Book Week gets colourful turnout.
Deaprtment of Environment and Primary Industries unhappy about Mt Disappointment vandals.
Jerilderie Shire deputy mayor Ruth McRae handed the key over for the new Rural Fire Service station last Friday.
Farmers have a new weapon in the fight against mice.
Cobram supermarket seeks $10 million expansion, increasing by about a third into adjacent car park area.
Public interest to determine Deniliquin Town Hall refurbishment.
Milk co-operative, Murray Goulburn has posted a record financial result, recording an after tax profit of $29 million.
The Benalla Indian Myna Action Group will pay a $1 per bird bounty on live birds delivered to CAL farm. National Party MP Bill Sykes donated $100 to fund the bounty.
Discover unbelievable local deals from local businesses every week in the Goulburn and Murray Valley area with Leapon.com.au!
Search properties for sale or rent across North Central Victoria and Southern NSW. Visit your local website for local homes....
Search for published and unpublished photos from McPherson Media Group newspapers and magazines. All our photos are available to purchase.
Place an advertisement in any one of McPherson Media Group's local newspapers.