Every individual or group running a self-managed super fund (SMSF) knows that the work and effort it takes to run and maintain one is no cakewalk. Besides staying updated with the latest courses and trends in SMSF, there is also the demand to regulate how you operate your SMSF administration. Anything that involves a high-value amount of money naturally entails several steps to ensure that the funds are safe and that all the necessary steps are being taken to achieve the trust account’s goal.
One of the lesser-known key components that make it possible for several SMSF admins to continue fulfilling its core duties is the presence of a reliable array of back-office SMSF services.
What do back-office services mean? As the name suggests, it pertains to services and tasks that work “in the background” and take care of the nitty-gritty that keep every accounting firm and trust fund well-oiled and operational. Think of it as a support system or platform that carries the structure’s weight as a whole. Without it, and without the consistent checking of all the big and small parts that keep it together, the assembly can fall apart at any time.
How else can back-office be beneficial in the SMSF business or industry?
- It provides a guide for the fund or firm’s growth and success. An SMSF cannot advance without a complete and fully functioning staff to support it. From providing the proper and essential training materials to hone its staff’s skills, to checking and reviewing all the necessary documents to track the trust fund, back-office solutions take care of all that.
- It keeps everything in check. This means the back-office also involves all documentation and processes needed to wrap up a trust’s yearly performance. Auditing, checking tax returns, recording and updating all financially-related gains and losses (if any).
- It is cost-effective. For back-office services outsourced to experienced and reliable companies, costs are dramatically reduced, and manpower is maximized. Firms can hire back-office services that they only need or employ their assistance on a project-based or limited setup. The absence of a long-term contract relieves both parties of extended and impractical commitments, and gets the opportunity to partner and shift with other industry experts they deem would be the best fit for the next phase in developing their fund or services.
- It combines a plethora of expertise and professional background related to empowering the fund. Some back-office support providers are well-equipped with financial advisors and accountants to shed more light and perspective on the firm’s trajectory. You can also set up additional support or assistance, and corporate secretarial solutions. Doing so eases that need to answer or clarify complex queries about your trust.
- Accessible knowledge base. Many back-office service providers offer additional seminars for industry trends that directly affect the firm. A typical topic for these enriching seminars includes learning the ropes and possible pitfalls of online marketing.
- It paves the way for a flexible work setup. Since outsourcing back-office SMSF solutions effectively boosts even limited resources, this also means that work and hours can be divided in a way that does not compromise the firm nor the personnel hired to complete the job.
All of these advantages, when utilized aptly, increase the operational capacity and efficiency of an SMSF administration office. The key is finding someone with a commendable background in the field and an unmatched professionalism throughout.