While the new PPSR requires many Australian businesses to change their practices regarding the management of their credit and security interests, it does bring opportunities. Businesses can better their position in the list of creditors in the event of insolvency or liquidation and better manage their risk.
As the market leader in the delivery of services in relation to the PPSR, Veda has hosted a number of forums in recent months to provide their customers with the opportunity to discuss what the end of the transitional period will mean for business and to share insights on the importance of registering on the PPSR.
The introduction of the Personal Property Securities Register (PPSR) almost two years ago signified profound changes to Australian lending practices. This move to a single national register – and legal reform that underpins use of personal property as security for credit – impacts significantly on daily business processes, documentation, systems and the management of credit risk. The PPSR was launched by the Australian federal government in January 2012, with a two year transition period for businesses and individuals.