ASIC Business Checks App
A new smartphone application developed by ASIC will help small business owners undertake important checks before they enter into business transactions with other organisations.
Brett Bassett, Senior Executive Leader – Small Business Compliance and Deterrence & Regional Commissioner QLD, told Dynamic Business that it’s often the smaller businesses that get duped by unscrupulous operators.
“When we’ve been speaking with business owners over the past eighteen months, [and] sometimes they’re the ones who get swindled, and this can be because they are so time-poor, they don’t get the time to perform the due diligence checks that the bigger companies can do,” Mr Bassett said.
It is precisely for this reason that the regulator has designed and released this app, which includes 13 key questions business owners should be asking of potential partners.
Too often due diligence is incorrectly seen as something that must be endured rather than an opportunity to investigate a company, business or individual and make an informed decision before there’s more than time on the line.
Due diligence needs to start the moment you start thinking about having a relationship with a business, not after you find out you’re chasing money from a business that doesn’t exist.
ASIC Business Checks app encourages business owners to:
- Ask the right questions about the company, business and individuals they’re dealing with;
- Check ASIC’s registers and verify that the information they’ve been given is accurate;
- Seek ASIC’s help if they need more information or the support of a professional business adviser; and
- Report suspected misconduct to ASIC if they believe a company, business or individual is acting unlawfully.
What the app does is it asks a series of relevant questions and tells you where to go to do the following searches yourself:
- ACN & ABN registration
- Business name index register
- Organisation Index
- MoneySmart in case it is on the ‘Do Not Deal With’ list
- What licences are they supposed to have
- Bankruptcy check
Whether you’re a small business owner, or advise someone who runs a business, download ASIC Business Checks app. It’ll be time well spent.