Financial reporting for licensees
When you have to report
To meet the Minimum Financial Requirements (MFR) Policy (PDF) requirements, you must keep internal management accounts at quarterly intervals in each financial year. You only need to provide us with your internal management accounts if we request them.
Management accounts include your:
- personal working accounts/records such as Trading Profit and Loss accounts
- balance sheets.
You must also provide documented financial information:
- when you apply for a new licence
- if your Net Tangible Asset position decreases by more than 30%
- if you no longer meet the minimum Current Ratio of at least 1:1
- if your Maximum Revenue (MR) needs adjusting (you must not exceed your MR by more than 10% in each financial year)
- if we request it.
Additional reporting requirements for Reporting Entities
From 9 October 2015, if you are a Reporting Entity as defined in the Australian Accounting Standards – Statement of Accounting Concepts 1 (SAC1), you now have an additional reporting requirement. You must provide us with a copy of any audit or review report you provide to the Australian Securities and Investment Commission (ASIC) or the Australian Securities Exchange (ASX) within 30 calendar days of the report being signed and/or submitted to ASIC or ASX.
Failure to provide these documents within this timeframe may result in our determining you no longer meet the Minimum Financial Requirements.
Age of information
- from the end of the financial reporting period being relied on, and
- at the date the accepted independent accountant signed the Report.
The financial information may be based on the Applicant or Licensee’s most recent financial information, being either:
- last financial year end accounts; or
- the current financial year to date accounts
How early can you submit financial information?
For an application or change of your maximum revenue, we will not accept an MFR Report if it is signed more than 30 days before we receive it.