Security

First of all, security provided by third parties such as clients will increase the likelihood of actually collecting your receivables. Second, the possibility to provide security to third parties, such as banks, is essential in order to attract one's own credit facilities.

Security provided by third parties
Some of your debtors can be in bad financial shape. Have you secured your position for the events set out below?
 

• Have you properly arranged your payment agreements with debtors?
• Have you properly arranged your own security vis-à-vis debtors, for example through retention of title, right of pledge, etc?
• If so, has this security been established in a legally valid manner?
• It is not always clear, especially with regard to large (expensive) machines whether these machines are construed as movable or immovable things. If a machine has been pledged to you, but it turns out to be an immovable thing, then the right of pledge is not legally valid, and a right of mortgage must be established.

Security provided by your business
Does your business offer sufficient possibilities to provide more security? For example for the purpose of attracting new finance arrangements? Can (trade) creditors recover their debts from important assets of the group on which no security has been established, such as immovable property or intellectual property rights? If so, is there perhaps a possibility to secure this within the group, allowing finance arrangements to be obtained in difficult times?