Kay Jackson – Director – Simplex Insurance Solutions
Do you hold a Builders License? Thinking of shutting down or de registering your Company? – BEWARE
Pleas ensure if you have a Builders License in Victoria and you elect to shut down or deregister your company that you have your Builders Warranty Profile in that any defects that may occur with a Build you have done in that entity it will be handled as a claim without reference to you and then recovery will be sought
Our suggestion is to no longer trade under your Company if that is what you are electing to do, but keep the company registered and leave it Dormant until the Defect Period from your last build is completed – your accountant can assist with this – yes you will have to do an Annual Return but at least if there is a defect in a build you have done you will be notified and you have the option of being involved and making good rather than a claim and recovery action.
If you are making any decisions with the Entity that you hold your Builders Warranty Profile in, please ensure you speak to your Broker or Builders Warranty Distributor prior to making any changes as it may have unintended consequences.
