It has made it much easier and cheaper for you to retain an interest in goods that you sell under the Personal Property Securities Act.

If you have a security interest in goods supplied then:

• You have a “super priority” in goods over a receiver or liquidator which means you can still get your goods back.
• You have powerful rights of enforcement, including rights of entry into your client’s premises and removal of your goods.
• If your client has converted your goods into something else then you have an interest in the converted goods.
• If your client has on sold your goods you can claim the proceeds.
• You may have a defence against a voidable preference claim from a liquidator.
• You may find your clients asking to pay you when they are trying to sell their assets and bail out from their business.

If you are a supplier of goods you do not need to register every transaction. You simply register your security interest once (a PMSI) – and the registration lasts for up to 5 years.

Cash Flow Doctors can take away the pain of registration by doing them on your behalf. Just download a copy of our PPSA Registration Form for you to complete and return.