Search Services | Why Search the Register
Users of our ESIS software will find a very powerful, built-in search capability as a standard feature. When designing PPSR search we focused on the ease and efficiency of conducting the search and analysis of the results.
When you are conducting a PPSR search, there may be a number of variations of grantor that you wish to cover. If searching a company you may wish to run three searches – on ACN, ABN and company name. With ESIS, you can enter these details on a single screen to automatically generate multiple searches. Our reporting capability combines the results in a single report, identifying which of the search criteria generated each registration found.
As the PPSR grows, searches against companies will generate an ever-longer list of results. This can obscure the Information you are really seeking. For example, if you are a retention of title supplier considering a new account application, you may only be interested in competing creditors with a security interest that could attach to your goods. This would typically be a creditor with a collateral class of “All Present and After Acquired Property”. ESIS allows you to filter results - quickly revealing the creditors you are interested in - and output results to a spreadsheet showing one line per registration.
When needing to perform a large number of searches - such as a fleet of vehicles - the file upload capability within Esis makes the whole process fast and efficient. Search results for the entire file may be output to spreadsheet.
These are just three examples of the way ESIS can make searching the register so much easier. Other features, such as recurring searches, may be helpful in a refinance transaction where the incoming financier wants to check that there have been no further registrations between loan approval and draw down – and to monitor discharges processed post settlement.
If you need to contact a number of secured creditors, our spreadsheet clearly displays the email address of each creditor so you can perform a mail merge to multiple creditors.
With such a versatile tool, it is best to talk to EDX about the reasons for your PPSR searches. We can then show you how ESIS search can help. If you are an occasional user and a little uncertain about how to interpret the results, we can perform the search for you and provide the appropriate analysis to meet your business need.
WHY SEARCH THE REGISTER?
With so much emphasis on registration and enforcement, it is hardly surprising that many businesses overlook the ability to search the register. This is an important benefit of the PPSR.
Registrations are grouped under grantors, or in a more widely used commercial term – debtors. There are also particular asset classes including motor vehicles, watercraft and aircraft where you can search by serial number of the asset.
We will focus on two benefits of searching the PPSR:
Purchase of Assets
- Purchase of assets.
- Granting credit to new customers.
The normal rule is that if you buy an asset, you take it along with any security interests attached to it, unless it is a sale in the ordinary course of business. This is nothing new.
A search of the PPSR can help provide comfort that the asset you are buying is not encumbered. For example, you might be considering the purchase of a second-hand lathe from a woodworking company that does not sell lathes in the ordinary course of business. You might complete a search and see that a bank has an “All present and after acquired property”
Granting of Credit
security interest registered against the woodworker. You would be well advised to seek a deed of release or waiver from the bank to confirm it has no further interest in the lathe.
You may have received a credit application from a new customer, seeking a substantial credit limit. You drive past their factory every day and can see it is a large operation with a significant amount of capital equipment, delivery trucks and company cars. For all practical purposes, it seems to be a company of substance. You then complete a PPSR search and
- All the capital equipment is owned by the family trust and leased to the company.
- Leaseplan has supplied all the vehicles.
- Alleasing has supplied the technology platform and office equipment.
- Scottish Pacific has factored the debts.
- Key suppliers of raw materials have retention of title clauses.
- ANZ has an “all present and after acquired property” security interest.
In other words, the company owns virtually nothing, and what it does own is secured to the bank. This may make your credit decision very easy. As businesses become more familiar with the PPSR, we expect to see the volume of search activity increase. Banks and finance companies are already well versed in search since it is an essential part of their credit assessment.