Organizational Matters

Organization

In 2006 the owners decided to change a Close Corporation to Necron Properties (Pty) Ltd.  The reason for this change is that it would make the business a separate entity and will allow for the business to stay in tact, regardless of the Directors involved.

Necron Properties (Pty) Ltd has several Risk Management strategies it uses to minimize risk and protect company investment.

Liability insurance is maintained on the Company in the amount of R1,6m per property.  Builders Risk insurance is obtained for each new home site in case of loss of property or dwelling prior to being sold to the home buyer.

Each subcontractor provides the organization with a copy of their liability insurance prior to completing work at each site.  Lien Waivers are signed by each subcontracting company and the new home buyers from assuming the risk from any payment on materials used by subcontractors that subsequently have not been paid for by the subcontractor.

Each Director carries Disability Insurance and each employee is covered by Workers’ Compensation.