Collateral registry needed, says Symmonds

Minister of Energy, Small Business, and Entrepreneurship, Kerrie Symmonds, is calling for a collateral registry in Barbados.

The minister mentioned this during his address at the “How To Run A Successful Business” course held at the Lecture Theatre, Warrens Office Complex earlier this week.

Symmonds elucidated that many cannot afford to go to financial banks with the collateral of land, a building, or a new vehicle. He noted that this situation should not exclude people from getting the financial assistance that they need.

“We also have to be mindful of the fact that there are a lot of people who don’t have (traditional collateral), but what they do have are assets or other assets that can be used,” said Symmonds.

He said that some people have individuals who owe them money, and those accounts receivables can be leveraged to help Barbadians get financial assistance. Symmonds also added that with farmers, their livestock and crops could do the same.

“(Collateral registry) can’t happen in Barbados today, but it can happen in the future. These are ways in which financial opportunities are created for people, especially micro, small business people all around the world,” he said.

Importance of future planning

In his remarks, the minister also emphasised the need for entrepreneurs to plan for the future. He told the audience that some business persons would make money and rather than invest it back into the business, they spend it on personal items. He also stressed that entrepreneurs must plan for their retirement and put plans in place to pass on their legacy.

“We must have intergenerational businesses and intergenerational wealth in this country,” said Symmonds.

In addition, he pointed out that business funds and personal funds should be kept separate from each other.