Strategi is offering a warrant of fitness service to advice business owners that includes a review of FAP policies, processes, controls, and advice documents.
The company says it’s a way of identifying what business owners are doing well and what could be improved.
The review starts at $2,800 plus GST for a business and one adviser. Each additional adviser is $800 but can drop to $500 (or less) based on the size of the business.
Strategi says its research indicates a business operations review could save clients money in areas such as:
- PI insurance
- Increased ability to negotiate fees and remuneration
- Reduced complaints
- Reduced future regulatory action
- Reduced rework
Strategi says rework can be a massive hidden cost with any business and that its compliance assurance reviews identify where processes and training can be improved resulting in fewer mistakes and less rework.
“A recent review of a large FAP showed that the cost of the compliance assurance review could be recovered in just one month through reducing rework by 50% – and this was before including any of the other cost reductions,” says the firm.
“Strategi is regularly engaged to assist a business once it is in trouble with the FMA. In every case, we find that if the business had spent a small sum of money becoming compliant in the first place – and undertaking regular compliance assurance reviews – then they would have likely avoided the regulatory action they are now dealing with.
“It’s common to see the cost (FAP time, lawyers and Strategi time) of fixing a regulatory issue is 4 to 5 times greater than the cost of having had regular compliance assurance reviews over the past five years.”