Established Since 1988

Trusts and Self Managed Super Funds

All our deeds are prepared by trusted solicitors and they are reviewed regularly to ensure compliance with current legislation. To apply simply fill in the relevant trust order form. The trust will be delivered to you the next working day.

Four deeds are provided, three are professionally bound and presented in a quality binder. All supporting documents to be signed are also included.

We are able to establish:

  • Discretionary Trust/ Family Trusts
  • Unit Trusts
  • Self-Managed Superannuation Funds

Below are the types of trusts and a general explanation of the questions asked on the application forms. This is not legal advice, if you require legal or accounting advice, consult an accountant or solicitor before establishing a trust.

Discretionary Trust / Discretionary Family Trust / Family Trust

The term family trust refers to a discretionary trust, generally set up to conduct a family business. They can also be established for asset protection. The terms and conditions of a trust are set out and maintained in the trust deed.

The settlor's function is to give the initial assets to the trust to hold for the benefit of the trust's beneficiaries, on the terms and conditions of the trust deed. The settlor executes the discretionary trust deed and pays the trustee a sum (generally $10.00) to establish the trust, then usually has no further involvement in the discretionary trust. The settlor cannot be a potential beneficiary. PCS can provide a settlor.

The trustee has powers to conduct the trust and manage its assets. In a family trust, the trustees are usually mum and dad, or a company of which mum and dad are the shareholders and directors. Their children and any other dependants are usually listed as beneficiaries. Distributions of assests must be made only to people who qualify under the terms of the trust deed to be beneficiaries of the discretionary trust. Trustees have the power to borrow money on behalf of the trust from banks or financial institutions.

The appointor or principal is usually the person who has initiated the establishment of the trust, they have the power to remove the existing trustee and appoint a new trustee in their place.

An individual trustee cannot be the sole beneficiary of a discretionary trust. If the trustee is an individual, there needs to be at least 2 beneficiaries of the family trust. If however, you have a corporate trustee, the director of that corporate entity can be a sole beneficiary.

A street address must be given for a trustee, a beneficiary however may use a P.O. Box address.

Unit Trusts

This is a common type of business trust. The capital of the trust is subscribed by the issue of units. The number of units a beneficiary holds predetermines his/her distribution of income and capital from the trust.

In small business, unit trusts are often used to bring together different entities, persons or other trusts into one business or investment. The unit holders can be discretionary trusts. Like shareholders in a company, the unit holders have the ultimate control over the trustee and the power to remove him/her. They can also move to vary the provisions of the trust deed.

Self-Managed Super Funds (SMSF)

Self-managed super funds (SMSFs) are a way of saving for your retirement. The difference between an SMSF and other types of funds is that the members of an SMSF are usually also the trustees. This means the members of the SMSF run it for their own benefit and are responsible for complying with the super and tax laws. There must be at least 2 individual trustees of a Superannuation Fund, or if appointing a company as trustee, a director of that company must also be a member of the trust. PCS can incorporate a trustee company to be the trustee of an SMSF if needed. This type of special purpose company attracts fewer ASIC fees than a normal proprietary company.