Brent Norling

It's, um, it's only subject to a personal guarantee.

And that director may have some property, and so they're probably thinking, well, the PG's worth something because I can see the property there.

But the reality is when you've got multiple PG's and a property market as it is currently, those PG's are worthless because there's just no equity in the property or not enough equity for all of the debts.

Yep.

And because I'm also finding there's usually a main trading bank in the mix as well.

And these quick lending has come in after the event.

The other problem with the banks is if people look back and say, you know, I need to refinance this.

It's also done in breach of some covenants.

And there hasn't been disclosure of the company's financial position to the banks.

um and they get they get grumpy about that as well oh so the bank is sort of saying you should have kept us in the loop that you were going to these guys to take this funding you're breaching yeah all that there was ird debt um so there's some disclosure obligations there which you know i get it from the business owners perspective um they don't want to tell the bank because they're fearful that the bank is going to appoint a receiver or take some enforcement action

Um, but on the other hand, by not telling the bank, um, you're really getting the bank off side and when you need some assistance, you're kind of failing that character test.

Yeah.

Yeah.

Um, you know, in this space, you know, that it's, I'll just reiterate that message, like the earlier people get advice, the more options there are available.

Um, and it's certainly something that I encourage is, um, you know, there are so many professionals that'll talk to you for free of your initial conversation.

And it's so, so common for people to come out of the consultations thinking, heck, I didn't know I could do that or I didn't know this was an option.

So there's just – there is so many options if people talk early.

Yeah.

There's, there's a variety of reasons if I had to pick one, it'll be, she'll be right.

Um, yeah, yeah.