As a training organisation, you need to be financially healthy to survive and thrive. There are many things you can do to protect the financial health of your organisation, but here are ten of the most important:
First, make sure you have a clear understanding of your costs. This includes both your fixed costs (e.g. rent, salaries) and your variable costs (e.g. materials, travel). Once you know your costs, you can develop a pricing strategy that covers them and leaves you with a profit margin.
Second, don’t be afraid to charge for your services. Many training organisations offer free or heavily discounted rates in order to attract clients. While this may bring in some business in the short term, it’s not sustainable in the long term. If you’re not charging enough to cover your costs, you’ll eventually run into financial trouble.
Third, diversify your income streams. Don’t rely on a single source of funding, such as government contracts, overseas students or full fee-paying. Having multiple sources of income will help to insulate your organisation from financial shocks. For example, you could offer training courses, consulting services, and online courses.
Fourth, invest in marketing and business development. This will help you to attract new clients and grow your business.
Fifth, manage your expenses – It’s important to manage your expenses carefully, as this can have a big impact on your finances. Make sure you are only spending money on things that are absolutely necessary, and that you are looking for ways to reduce costs where possible.
Sixth, review your marketing strategy – Your marketing strategy is another area where you can make some changes to improve your financial health. Make sure you are targeting the right audience with your marketing efforts, and that your campaigns are effective. You may also want to consider changing your pricing strategy to attract more students or customers.
Seventh, seek professional advice – If you are worried about the financial health of your training organisation, it’s a good idea to seek professional advice. This can help you get on the right track, and can also give you peace of mind that you are doing everything possible to protect your business.
Eigth, have a contingency fund – Things don’t always go according to plan. Have a contingency fund so you have money set aside for unexpected expenses.
Ninth, Insurance Coverage – One of the best ways to protect your training organisation’s finances is to make sure that you have adequate insurance coverage. This means having enough insurance to cover the cost of any potential liabilities that could arise from your business activities. For example, if one of your employees were to injure themselves while working, you would need to have enough insurance to cover their medical expenses and any potential legal fees.
Finally, make sure you have a solid financial management system in place. This includes things like bookkeeping, budgeting, and cash flow management. This means having systems and procedures in place to track your income and expenses and to make sure your finances are in order. This can help you avoid overspending and can also help you identify areas where you can save money. Having a good handle on your finances will help you to make sound business decisions and avoid financial problems down the road.
By following these strategies, you can help to ensure the financial health of your training organisation.

There are a number of requirements that need to be met in order to become a Registered Training Organisation (RTO) in Australia. These include:

• having a business name and ABN
• being a legal entity in Australia
• having appropriate insurance cover
• having a physical presence in Australia
• having suitably qualified staff
• having robust policies and procedures in place
• having appropriate financial standing

Have appropriate resources, including staff, facilities and equipment, to deliver the training and assessment services it intends to offer;
What is a Registered Training Organisation (RTO)?
The term “RTO” refers to a company that provides nationally accredited vocational education and training (VET). RTOs are approved by a regulatory body.
Traditional vocations, advanced technical training, para-professional and professional studies as well as pre-employment and basic skills programs are all offered by RTOs in Australia. It is possible for RTOs to be owned by the government (state or territory) or by a private company. The training.gov.au website, which took the role of Australia’s former National Training Information Service (NTIS) and now lists all of Australia’s registered training organisations (RTOs) and the qualifications they are authorised to deliver, is a national register for VET.
Until an organisation is registered and listed on the national register, training.gov.au, it cannot promote, offer to provide, deliver, or assess VET courses. Unless you are a registered RTO, it is an offence to advertise or provide VET services.
Choose your industry
Choosing your industry is an important first step, as different industries have different requirements for RTOs. For example, some industries may require you to have specific qualifications or experience in order to be registered. Researching the requirements thoroughly will help you ensure that you are able to meet them and increase your chances of being successful in your application for registration.
Once you have chosen your industry and researched the requirements, you will need to prepare your application for registration. This will involve providing evidence that you meet the registration requirements, such as qualifications, experience and insurance.
Research the Australian Vocational Education and Training (VET) system and industry you would like to operate in
The second step in becoming an RTO is to conduct industry research. This will help you understand the training landscape and what is required to become an RTO. You will need to consider:

• The type of training you want to offer
• The needs of the target market
• The regulatory environment
• The competition

Once you have a good understanding of these factors, you can start the process of becoming an RTO. This involves registering with the National VET Regulator and meeting all the quality standards.
This research will help you to develop a clear plan for your RTO, and will ensure that you are aware of all the requirements that need to be met.
Develop your business plan
Once you have researched the VET system, you will need to develop a detailed business plan for your RTO. Your business plan should outline your RTO’s purpose, goals, and strategies. It should also include a marketing plan, financial projections, and a quality management system.
Develop your training and assessment strategies, systems, products and services
The next step in becoming an RTO is to develop your training and assessment strategies, system, products and services. You will need to identify the needs of your target market and design your products and services accordingly. It is important that your products and services meet the Australian Qualifications Framework (AQF) standards. You can find more information on the AQF website. Organisations such as CAQA Resources can help you to develop your training and assessment strategies, products and services.
For more information, please refer to:
Prepare your application, click here.
Requirements and responsibilities, click here.
RTO application assessment, click here.
Guide to current ASQA fees and charges, click here.
Meet the requirements for registration: Demonstrate compliance with regulatory requirements and registration with the regulatory body
In order to meet these requirements, RTOs must also be able to demonstrate their compliance with the Standards for Registered Training Organisations (RTOs) 2015. These standards are designed to ensure that RTOs deliver quality training and assessment services that meet the needs of industry and learners.
Your organisation will need to have:

• a business structure and management processes that support the delivery of high quality training and assessment services
• well trained and qualified staff who are able to deliver quality training and assessment services
• appropriate facilities, equipment and training and assessment resources to enable the delivery of high quality training and assessment services
• systems and processes in place to monitor and review the quality of training and assessment services delivered by the RTO.

Apply for registration with the relevant authority
Once an organisation has met all of the necessary requirements, they can then apply for registration with the Australian Skills Quality Authority (ASQA). ASQA is the national regulator for the vocational education and training (VET) sector in Australia.
Registration with ASQA is not automatic and organisations must provide evidence that they meet all of the necessary requirements. Once an organisation has been registered, they will be issued with an RTO number which must be displayed on all of their marketing materials.
Be audited by the regulatory body
After you have been registered, ASQA will conduct an audit of your RTO to ensure that you are complying with the Standards. This audit may involve on-site visits, interviews with staff and students, and a review of your documentation and records. You will need to address any non-compliance issues that are identified during the audit.
Maintain your registration
If your application is successful, you will be issued with an RTO registration number which allows you to operate as an RTO in Australia. You will also be subject to ongoing monitoring and reporting requirements to ensure you continue to meet the standards for registration. This includes keeping up to date with any changes to the Standards, and ensuring that your RTO continues to meet all of the requirements. ASQA may conduct audits or reviews at any time, and you may be deregistered if you are found to be non-compliant.
Becoming an RTO in Australia is a complex process, but it is possible to do if you are willing to put in the hard work.
We hope this article has been helpful in outlining the steps that need to be taken in order to become a registered training organisation in Australia. If you have any further questions, please don’t hesitate to contact us.

All RTOs must collect a range of data from their students and report all their delivery activity (known as Total VET activity) to the National Centre for Vocational Education Research (NCVER), at least annually.
This data is used to improve education and training outcomes for students, industry, and the community.
Below are some of the most common AVETMISS issues one can experience and the methods to fix them one by one.
Issue 1: No USI or invalid USI format error
Explanation:
This error will be displayed to you if you do not follow the guidelines provided by NCVER https://www.ncver.edu.au/rto-hub/avetmiss-support-for-rtos and https://www.ncver.edu.au/rto-hub/rto-fact-sheets
Solution:
When the USI being reported is incorrect, the Invalid format error is triggered and displayed. Prior to reporting, all USIs must be confirmed via the USI Office’s verification service. All USI letters must be in upper case in order to pass validation in AVS error free (lower case letters will trigger errors). For further information on USI formatting criteria, please visit the AVETMISS Data Element Definitions: edition 2.3 document.
Note: Clients from outside the Country are not required to have a USI. In order to pass validation, you will need to enter the code “INTOFF” in the USI field, which cannot be left blank. The following conditions must be met in order for the code INTOFF to be validated successfully:

• the client’s address has the code ‘OSPC’ (overseas postcode) entered in the postal code field
• the state code ’99’ entered in the state field
• their training activity has the Funding Source national code -32 International offshore client

Additional information can be found in the fact sheet titled “Unique Student Identifier.”
Issue 2: Funding source — national: Unable to submit error free data
Explanation:
NCVER does not accept enrolment data with state-specific Funding source national codes 11 (Commonwealth or state general-purpose recurrent) or 15 (state-specific funding programs).
Solution:
If your training organisation offers state-funded training courses either you will be required to submit the training activity data to your state or territory training authority (STA) or you will need to amend the incorrect funding source national codes in the student management system before uploading and validating your data again.
Issue 3: Data entry is not correct
Explanation:
The data is not being entered into the student management system in accordance with NCVER norms and protocols.
Solution:
Since NCVER will accept any data as long as it conforms to the guidelines and protocols they’ve established, you need to check that the data you’re submitting is accurate and meets their standards before submitting it.
Issue 4: Mandatory field Training organisation identifier must not be blank
Explanation:
This indicates that you have not yet put your RTO ID into the appropriate system settings.
Solution:
You will need to go into your RTO/VET Settings and add your Training Organization Identifier so that this problem can be fixed.
Issue 5: Qualification identifier (__________) exceeds the maximum length 10
Explanation:
The most likely reason for this to happen is because you have a qualification set up that is designed for Unit Only enrolments and, as a result, the Qualification code should not be reported.
Solution:
If this is the case, you will need to make sure that you update the qualification and choose the option that indicates “Unit Enrollment Only.”
If the information shown above does not apply to your situation, you may be required to validate your recorded qualification code with the information found on training.gov.au. You will need to get in touch with NCVER if you discover that the information you have recorded is accurate.
Issue 6: Mandatory field Nominal Hours must not be blank
Explanation:
When you have not documented any notional hours towards a qualification, this error will appear.
Solution:
Please contact NCVER so they can identify the nominal hours associated with your qualification (if this information is not already available), and then update your qualification so it reflects these changes.
Issue 7: End date for continuing students
Explanation:
If a student has a CA (continuing activity (70)) outcome for a unit and that unit’s end date falls within the end-of-year collecting period, then this error message will be displayed to the student.
Solution:
You will need to either modify the unit outcome to a final outcome or extend the unit end date to be in the next year corresponding to the student’s enrolment in order to fix this problem.
Issue 8: Address street name or Address postal delivery box must be populated
Explanation:
This error will occur if the student’s contact profile does not have a street name associated with their address or a postal delivery box associated with their address listed.
Solution:
You will need to modify the contact profile so that it includes this information (Address street name or Address postal delivery box) in order to fix this issue.
Issue 9: Error 3251: Activity End Date is after the Collection Year End Date therefore Outcome Identifier -National must not be a final outcome
Explanation:
If the activity end date is after the collection year end date, this error will appear.
Solution:
Choose the Outcome Identifier that is labelled “National,” which is denoted by the number 70, so that you can fix this problem. You must ensure the activity end date is reflected correctly in the student management system.
Issue 10: Disability flag is ‘Y’ and disability type not supplied
Explanation:
If you have selected the disability flag, but the type has not been selected.
Solution:
You must ensure the correct information is entered into the student management system. You must select the correct option before validating and submitting the data.

Registered training organisations (RTOs) operate in a highly regulated environment. To be registered, RTOs must comply with the Standards for Registered Training Organisations (RTOs) 2015. These Standards require RTOs to develop and implement a quality management system (QMS).
A quality management system (QMS) is a formalised system that documents processes, procedures, and responsibilities for achieving quality policies and objectives. A QMS helps coordinate and direct an organisation’s activities to fulfil these objectives.
There are a number of elements that should be included in an RTO’s QMS, including:
– Policies and procedures: RTOs must develop policies and procedures for all aspects of their operations, from student recruitment and enrolment to training delivery and assessment. These policies and procedures must be regularly reviewed and updated to ensure they remain relevant and effective.
– Systems and processes: RTOs must put in place systems and processes to support the delivery of high-quality training and assessment. These may include quality assurance processes, student support systems and data management systems.
– Practices: RTOs should develop best practices for all aspects of their operations, from customer service to training delivery. These practices should be regularly reviewed and updated to ensure they remain relevant and effective.
RTOs that have well-developed QMS are more likely to be able to meet their regulatory obligations, improve their operations and enhance their reputation.
An effective QMS will help an RTO to:

• plan and organise its operations;
• control and monitor its activities;
• communicate with its customers;
• continually improve its performance.

There are many benefits to having a QMS in place, including:

• Improved training and assessment quality
• Greater transparency and accountability
• Enhanced customer satisfaction
• Increased efficiency and effectiveness
• Reduced costs associated with waste and rework.

To be effective, a QMS must be tailored to the specific needs of the RTO and its customers. It should be regularly reviewed and updated to ensure that it remains relevant and fit for purpose.
RTOs that are unable to demonstrate compliance with the requirements of the Standards may have their registration suspended or cancelled.

As an RTO business owner or manager, you understand the importance of having qualified and experienced staff. This is especially true when it comes to trainers, who play a vital role in ensuring your students are properly educated and trained.
However, verifying the credentials and experience of trainers can be a time-consuming and difficult process. Additionally, if trainer documents are not properly verified, it could lead to legal issues down the road.
Why trainer documents must be verified
There are several reasons why you need to verify the documents and experience of your trainers.
First and foremost, you need to ensure that the trainers you’re working with are qualified to do the job, their credentials are up to date and that they have the necessary experience to train effectively. This means that they have the necessary credentials and experience to provide quality training.
You need to verify trainer documents in order to protect your organisation from liability. If a trainer is found to be unqualified or doesn’t have the requisite experience, your organisation could be held liable for any damages that occur as a result of their training.
Verifying trainer documents helps to ensure the quality of training that your learners receive. If trainers aren’t properly qualified, they may not be able to deliver effective training which could impact negatively on learner outcomes.
Verifying trainer documents can help you to avoid potential reputational damage. If it’s discovered that trainers working for your organisation are unqualified or don’t have the required experience, it could damage your organisation’s reputation and make it difficult to attract new learners.
Finally, you want to be sure that they will be able to provide the required documentation if requested by an auditor.
How to verify trainer documents
There are a few different ways that you can verify the documents and work experience of your trainers.
One way is to contact the relevant qualification issuers directly and request confirmation.
Another way is to ask the trainer for copies of their qualifications and work experience documentation and then verify these yourself.
Finally, you can ask a represnentaive (depending on your role as in HR or RTO Manager) in your training provider to verify the documents and work experience of your trainers on your behalf.
Whichever method you choose, it’s important that you keep a record of the verification process and the results. This will be helpful if you are ever asked to provide evidence of trainer verification to an auditor.
You must also ensure your policies and procedures refer to exactly the same RTO practices for verifying the trainer credentials.
Who Should Verify Trainer Documents?
The responsibility for verifying trainer documents typically falls to the person responsible for managing the training function within an organisation. In some cases, this may be the head of HR or Learning and Development. However, it’s also common for organisations to appoint a dedicated Training Manager who takes on this responsibility.
If you’re unsure who is responsible for verifying trainer documents within your organisation, you should contact your HR department or Learning and Development team for clarification.

Your training organisation must comply with all relevant Commonwealth, state, and territorial laws and regulations. This includes (but is not limited to):
The National Vocational Education and Training Regulator Act 2011
The NVR Act also establishes the National Quality Framework (NQF). The NQF promotes high quality, nationally consistent training and assessment services. It does this by setting minimum standards for registered training organisations (RTOs), and requires RTOs to be monitored against these standards. The Standards for Registered Training Organisations (RTOs) 2015 are made under subsection 185(1) and subsection 186(1) of the National Vocational Education and Training Regulator Act 2011 (the Act). For more information, see the Australian Skills Quality Authority website.
The Education Services for Overseas Students Act 2000
The ESOS Act sets out the legislative framework for the regulation of the provision of education and training to overseas students on student visas and contains standards for providers in relation to courses of study, marketing, admissions, recruitments, orientation, manage changes to courses, academic progress, complaints and appeals among other requirements.
The Competition and Consumer Act 2010
The law covers many aspects of the relationship between businesses and consumers, including issues such as unfair contract terms, misleading or deceptive conduct, and unconscionable conduct. The law also contains specific provisions relating to the provision of services by businesses to consumers.
The Work Health and Safety act
The RTO will take all reasonable steps to ensure the health and safety of its employees, students, contractors, and visitors.
The RTO has in place a range of policies and procedures to ensure compliance with relevant laws and regulations, including but not limited to:

• Work Health and Safety Policy
• OHS/WHS Risk Management Procedure
• Emergency Evacuation Procedure.

In the event that an incident does occur, the RTO will investigate and take corrective action as required. This may include implementing new or revised policies and procedures, providing training to employees, or taking disciplinary action against those involved. The RTO is committed to the continual improvement of its compliance with all relevant laws and regulations.
The Discrimination Act
The RTO is committed to providing a discrimination-free environment for all employees, students, contractors, and other individuals who interact with the RTO. The RTO will not tolerate any form of discrimination or harassment on the basis of race, ethnicity, national origin, religion, sex, gender identity or expression, sexual orientation, age, disability, or any other protected characteristic. Anyone who experiences or witnesses discrimination or harassment at the RTO is encouraged to report it to a supervisor or HR representative. The RTO will investigate all reports of discrimination and take appropriate corrective action if necessary.
The Equal Opportunity Act 2010
RTO must value diversity and inclusion in their workforce and welcome applications from people of all backgrounds, experiences, and abilities. They should remain committed to creating a safe and supportive environment for all members of the community.
The Racial and Religious Tolerance Act 2001
The RTO also complies with international human rights instruments to which Australia is a party, including the International Covenant on Civil and Political Rights, the International Covenant on Economic, Social and Cultural Rights, and the Convention on the Elimination of All Forms of Racial Discrimination.
The Working with Children Act 2005
The RTO is committed to providing a safe and welcoming environment for all members of the community, including children. Staff members undergo regular training on their obligations under the Working with Children Act 2005 and are required to adhere to strict guidelines when working with or around children. The safety of all stakeholders including children should always remain the organisation’s number one priority, and the organisation should always take any necessary measures to protect them from harm.
National Police Check
The NPC is an important part of RTO’s commitment to providing a safe and secure environment for students. It helps organisations identify any potential risks associated with individuals who may have access to the students.
Privacy Act 1988 (Cth)
The RTO is committed to protecting the privacy of all individuals with whom it deals. The RTO has in place policies and procedures to ensure that all personal information is collected, stored, used and disclosed in accordance with the Privacy Act 1988 (Cth). The RTO also takes reasonable steps to protect all personal information from misuse, interference and loss, and from unauthorised access, modification or disclosure. Individuals have a right to access their personal information held by the RTO, and to request that their personal information be corrected if it is inaccurate, incomplete or out-of-date.
The Copyright Act 1968
RTOs are required to comply with the Copyright Act 1968 and all relevant Commonwealth, state and territory laws and regulations. The purpose of this compliance is to ensure that RTOs can continue to provide quality training and education services to their students.
Some of the key requirements that RTOs must comply with include:

• ensuring that all material used in the delivery of training and education services is copyright compliant
• obtaining the appropriate licences or permissions for the use of any copyrighted material
• ensuring that all staff involved in the delivery of training and education services are aware of their obligations under the Copyright Act 1968.

RTOs should also have in place procedures for dealing with any complaints or inquiries relating to copyright compliance.
It is your responsibility to ensure that you are familiar with all relevant laws and regulations and that your training organisation complies with them. Your RTO will be regularly audited to ensure compliance. Compliance with legislation is essential to maintaining your registration.
The RTO also has a range of policies and procedures in place to ensure compliance with these laws and regulations. These include policies on equal opportunity and non-discrimination, child safety, work health and safety, privacy, copyright, and public records.
The RTO is committed to providing a safe and inclusive environment for all members of the community. We encourage everyone to familiarise themselves with our policies and procedures and ensure they cover all aspects of RTO registration, administration, governance and management.
If you have any questions about your obligations, please seek legal advice or contact RTO consultants.