subject: Asset Protection [print this page] Our Views On Asset Protection Our Views On Asset Protection
In order to be sure that you have adequate asset protection in place, you need to be able to answer the following questions:
* what are my assets
* from what am I protecting them
* how can they be protected.
What are my assets?
This will encompass your business, your home, and your ability to earn an income, investments such as your share portfolio, and your rental properties. What else is important and valuable to you? Make a list and ensure that it is comrehensive.
What am I protecting them from and why are they at risk?
Risks can come from a number of different sources. Property can be at risk from a fire, theft, or just being a bad investment.
Businesses can be at risk from a downturn in your industry, the economy as a whole and other competitors, the impact of which can affect solvency and viability. Also it can be at risk because of accidents or errors or even from growing too fast.
You as a director of your company have assumed a number of responsibilities including liability for unpaid PAYG deductions from employees. You may have given directors guarantees to banks and creditors.
Your personal assets are always at risk from your business problems and your business is at risk from your personal problems
Risk Management is an integral part of good management practice and involves a logical and systematic approach to the process. A model is outlined in AS/NZS 4360:1999 Risk Management, Standards Australia
