A ltd needs to raise finance for the expansion of its fresh food business. A ltd decided to borrow a loan from B ltd. B requires A to provide...

A ltd needs to raise finance for the expansion of its fresh food business. A ltd decided to borrow a loan from B ltd. B requires A to provide security for the loan. A owns land, buildings, plant and equipment and trading stock (food for resale).

Question:

Should B take a fixed or floating charge by way of security for its loan to A? Which form of security would you recommend and why would you recommend it?