What's the price of good advice?

2017-11-21 13:03:29

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Some say the price of good advice can only be truly measured when, in the absence of it, a loss is sustained, which is kind of depressing when you think about it.

​I'd suggest that you pay for what you get, unless you're complexly unsure of the context, e.g. the mechanic's adage 'one price for the fella's and another for the ladies', wink nudge.

As its early days for ESIC's, you might assume that the value & risk ratio puts a premium on legal and accounting advice, which is probably true.... except we are giving a lot of that away for free (thanks to digital automation). But that still leaves some serious questions unanswered and the all important investor assurance.

Now that's a different story. So exactly what price is ESIC advice?

​Well, we will not name names, however we've been told by ESIC's that anything from $1,000 to $10,000 per certification + GST applies.

Ouch, so lets break that down into an hourly rate. We are talking about between 4 and 40 hours of a suitably qualified and insured advisers time, which could regrettably be about right, depending on complexity, the risk and the relationship.

It's probably safe to say those fees will stay high, so long as we wait for further ATO guidance and a small number of experienced advisers have the pick of the referrals.

What can an ESIC do about it?

​ - Run our pre-assessment first
 ​- Learn up on the qualification requirements
​ - Prepare your documentation and investor pack 
​ - Consider a DIY ATO ruling request, & 
​ - If all else fails, shop around

As always, I hope this above helps shed some light on your path to qualification.

Best Regards,


​Tom

 

Published By: Tom

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