The best way to be safe in these situations is to make requests. How many times has a debtor told you that you will be paid once they move in for a particular project? It is advantageous to take a debtor at his word. This is the quickest way to find out if the debtor wants to say what they are saying. Suggest that the debtor grant a security right in that single receivable. The debtor told you that the debt is your money. What harm does it do to record this in writing? You probably don`t even need to file a financing statement to perfect this security, unless it`s a substantial portion of the debtor`s unpaid accounts. [5] A simple letter identifying the security stating that the debtor „assigns“ that claim to you or grants you a security right in it, and which is signed by the debtor, will likely suffice. If 90 days pass without bankruptcy, you are a secured creditor. The allocation of funds in the annexes is an example of a simple assignment of receivables. A hedging stake in the product will not last long without taking additional measures.

It is therefore important to demand immediate payment from the debtor after the sale of your guarantee. In the event of bankruptcy, the continuation of the hedging interest in the product is important in order to preserve your secured claim in the proceeds of the debtor`s recent sales. They continue to have a security right in the debtor`s unsold inventory. If you sell materials, you may want to consider maintaining a security interest in all goods purchased by your buyer. This can be considered a purchase-money security right. [6] If your buyer resells the materials and receives money in return, you now have a security right in that cash product for a limited period of time. The rules for proof of funding vary somewhat from state to state. . . .