To be prepared is to be forearmed, or so they say.

Lots of people don't know that in Australia bankruptcy and insolvency are two different things. In Australia, bankruptcy applies to individuals while insolvency applies to companies. This can be a bit confusing for those who are unfamiliar with the Australian system, so this week Chris Bakerville takes a closer look at what each of these terms mean, especially for people overseas when they are trying to figure out the business scene.

There are a few key things to keep in mind when investing in a company in Australia, especially if that company goes insolvent. Australia has a different system from countries like the USA when it comes to bankruptcy, so make sure you're aware of how that works before investing.

Chris has nearly 2000 case studies on what to do and not do - so tune into this series of Podcasts - The sounds of the Baskerville, so you can be prepared!