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Corporate Borrowing, Lending and Capital Raising

Corporate Borrowing, Lending and Capital Raising

Companies borrow and lend money just like individuals do.  Companies also take securities just like an individual gives a mortgage.  There may be special rules and procedures applicable to companies giving and taking securities and having them registered on the Personal Properties Securities Register (“PPSR”) to make sure they are enforceable.  Failure to comply with these procedures may mean the company has no security to support its loan. 

Companies also raise money from investors and there are detailed and complex provisions in the Corporations Act requiring in some cases disclosure and lodgment of documentation with the ASIC.  A failure to comply may result in criminal offences.

You should contact our Corporate Law specialists to help you navigate these complex issues.

For advice on any aspect of corporate law – feel free to call us today.