A comprehensive Guide to Financial Viability Risk Assessment Tool

ASQA Financial Viability Risk Assessment Tool

The Financial Viability Risk Assessment Tool is used by the Australian Skills Quality Authority (ASQA) to check out whether the applicant or RTO/CRICOS provider is following the code of conduct as per requirements of section 11 of the ESOS act. This tool is further utilised for judging the business performance and its potential to achieve success. The assessment also tells about whether the business firm has sufficient financial resources which are used for:

• They are employing sufficient and qualified staff necessary for courses.
• Possess the necessary assets and physical resources required for delivering qualifications on its scope of registration.
• They are providing good services for student services to students.
• Can sustain in business till the time the students are getting their necessary education.
• Meeting all the conditions as mentioned above without fail, even in adverse times.
  
  

The judgment on the financial viability risk will be based on financial and non-financial metrics as per the data. It is advisable that the applicant must go through the results tab before submission as it will allow them to understand whether it will meet the financial requirements or not.

Completion of the financial Viability Risk Assessment Tool

Who is required to complete the tool?

It is necessary for applicants who want to enrol as RTO or an education service provider to international students ( CRICOS)

RTO’s who are looking forward to changing their registration within the first two years of their commencement.

RTO’ or CRICOS provider has notified ASQA about changing 50% of their shareholdings in the last 12 months.

Financial Viability Risk Assessment Requirements

This tool has seven worksheets, which are needed to be completed by a proficient Accountant Perth

TAB 1 – Details of the Provider

TAB 2 - Profit and Loss

TAB 3 - Balance Sheet

TAB 4 – Cash Flow

TAB 5 - Bank, Debtors, and Creditors

TAB 6 – Student Numbers and Course Fees

TAB 7 - Major Expenses

It is required that you must complete all the necessary information by starting from TAB 1. It is advisable that you select the relevant tool, which depends upon the information below. 

New Registration ( Start-Up Business)

Organisations are looking forward to registration as a training institute and/ or as a CRICOS provider within less than 12 months.

RTO’s who are looking forward to changing their scope of registration within less than 12 months.

The training institute or providers who have changed 50% of their shareholdings in the last 12 months.

New Registration ( Existing Business)

 Organisations looking forward to registration as a training institute and/ or as a CRICOS provider for more than 12 months.

RTO’s who are looking forward to changing their scope of registration for more than 12 months.

Supporting Documents which are essential with the tool

Complete Company Description

The Goals of the organisation

Long time Strategy and planning of the organisation

SWOT analysis

Financial Planning for the next 12 to 24 months.

A complete detailed structure of the organisation as per the hierarchy of the staff members.

If you are facing any difficulty with the proper completion of the FVRA tool, we, Accounting services Perth will provide you the best assistance and services in completion. Apart from this, we will also guide you about the actual financial viability of the project. Our rich experience in accounting and financial operations has allowed us to understand all sorts of accounting-related tasks with perfection. If you are struggling with any issue in your FVRA tool, contact us now.