The dramatic rise in insolvencies over the last 6 months comes as no surprise to those professionals who are in, or on the fringe of the insolvency industry. There are many contributing factors including the debt recovery drive by the ATO, banks reluctance to lend money, falling property and share prices that have historically secured company loans by directors and the insolvency of company “A” causing a snow ball effect to their creditors.
SME’s with a dedicated Credit Manager have been frantically assessing their potential exposure risks and understanding the introduction of the Personal Property Securities Register (PPSR). Couple this with a good management structure, having their debtors book insured, an adequate line of credit readily available and a willingness to place customers on “stop credit” have made some companies somewhat immune to insolvencies effecting them.
Slater Byrne Recoveries Pty Ltd (a national debt collection and credit management firm) has noticed a dramatic spike of enquiries from those SME’s who are not fortunate enough to have all the safeguards in place. Once a consultation on a particular debt recovery matter has taken place, the advice and findings are all too familiar.
Below are the most common areas that need attention;
Industries presently at risk where a consultation may be required include;
Industries we do NOT collect:
Should you or any of your clients have any questions please contact Peter Levis from Slater Byrne Recoveries at [email protected] or 1300 794 290.
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