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How to Become a Registered Training Organisation

VET questions and answers 

How do I apply?

If you intend to deliver training outside Victoria or to International students then you must apply to become an Registered Training organisation (RTO) with the national Regulator- The Australian Skills Quality Authority (ASQA).

If you intend to deliver training in Victoria to domestic students then you should apply to the Victorian Registration and Qualification Authority (VRQA). You must be an incorporated company in Australia or an incorporated body; you cannot be a sole trader.  

How much does it cost?

It costs, at a minimum, $13,300 - $15,000 to go through the two phase application process. This does not include expenses associated with starting up a business. The exact amount depends on the number of sites and the number of qualifications you apply for. Fee information can be found on the  Fees page.

 How long does the process take?

 The VRQA has a two phase audit process and this takes approximately six to nine months.  

What does this involve?

 Phase One is a financial viability assessment which looks at your business plan, your financial plan and your management systems. You also need to satisfy the Principal Purpose Requirement (PPR).  This shows that the main purpose of your company is to provide education and training.
 
You must pass Phase One before you can proceed to Phase Two- the quality audit against the AQTF Standards and Conditions for Initial Registration (pdf - 380.14kb) and the 2016 VRQA Guidelines for VET Providers (docx - 206.95kb).

What should I do before I submit my application?

  1. Undertake a research phase.
  2. Know what you intend to deliver.
  3. Do your research. Is there demand? Is there a lot of competition in your area?
  4. What staff will you need?
  5. What are the likely costs? How long will you be able to survive financially with only a few students or none? You are unlikely to be eligible for government funding in the first 12-14 months, without a history of audited company records.
  6. What premises, equipment and infrastructure will you need? What is available?
  7. Find a suitable lawyer and an accountant.
  8. Attend a pre-registration and financial guidance workshop run by the VRQA.
 You will need to have everything in place before the Phase Two audit, including suitable premises, training and assessment materials and the qualified staff. It is allowable to have conditional contract to hire once you are registered.