The exact SMSF structure must always be confirmed by the client’s accountant. This article does not provide advice on how an SMSF should be legally structured. Its purpose is to explain how to capture a potential SMSF deal in the CRM only.
Typical SMSF structures
An SMSF deal generally involves two separate structures:
Bare / Holding / Custodian Trust/Trustee
Holds the security (property)
SMSF Trust/SMSF Trustee
Holds the loan with the lender
Person Servicing Guarantors
SMSF trust members must provide their own financial positions. In the CRM, these individuals are added as Servicing Guarantors (they appear as Members in lender gateways).
A. Create a new deal
When creating a new deal:
When creating a new deal:
Add the SMSF Trustee company as the Client
Add the SMSF Trust company as the Client
Add Bare Trustee as the Client
Add Bare Trust as the Client
Add Directors or Beneficiaries as Servicing Guarantors
Example:
Trustee, company individuals and beneficiaries do not need to be set up in this screen. Deal structure in tools should look like this:
B. Set up Trustees and Trusts in home loan tools
Set up each trustee company with appropriate company details and add entity individuals as existing contacts (typically those added in
Set up each trust by adding existing trustee and existing beneficiaries (all should have been added in Add New Deal screen).
Trustee company must be linked to the structure under Trustee detals:
Click on the "+" button and select existing contact
Search for the existing contact
Trust members must be linked to the structure as Entity Individuals:
Click on the "+" button and select existing contact
Search for the existing contact
Required details
ACN is required for Trustee companies (use ABN/ACN lookup)
ABN is required for both trusts (use ABN lookup)
C. Security ownership
Set Security Ownership to 100% Bare / Holding / Custodian Trustee
D. Loan ownership
Set Loan Ownership to 100% SMSF Trustee
