Annual Compliance Certificate
Every year, in order to renew an Australian Credit Licence, ASIC requires Licensee’s to complete a declaration of compliance relating to the previous year.
By signing this declaration, the license holder is declaring that certain documents have been collected, stored and completed throughout the year.
Whilst many imply this is an imposition, we at Finance Executives see it as a great business building tool. It covers all the requirements that business owners of all professions should attend to on a regular basis.
Unfortunately, this is often the part of the business that is skipped due to time constraints or lack of interest in the paperwork side of the job.
At Finance Executives, we prompt the license holders to complete these tasks and hopefully, use the information to build a better business.
Whilst the lodgement of the compliance certificate is fairly straight forward, the signing of that document is quite serious. Making a declaration to a government department and stakeholder in any industry is considered to be a legal declaration and therefore could be considered as fraudulent if the information is not correct.
ASIC use the information you provide as the basis for the amount they will charge you the following January.
If you lodge documents via an aggregator, they will also require a copy of this document once lodged. They accept your declaration as fact and will use this document as part of their risk assessment when allowing you to lodge loans under their aggregation process.
These declarations, should be filed and stored for future reference.
Finance Executives have designed a process for this to be streamlined.