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Frequently asked questions and issues for consideration in planning significant new commercial initiatives

The following issues and possible questions for consideration are provided as a guide to planning and development of proposals in relation to significant new commercial initiatives. They may not apply in all cases.

Key Issue

Possible questions for consideration

Consultation/ Advice

Academic

What academic areas of the University will be involved? Executive Deans
  What are the relationships with University strategic directions goals and objectives? Deputy Vice-Chancellors,

Resources

Staffing Personnel Consultant, Human Resources
  Have impacts on staffing (academic and general) been considered and has consultation with relevant supervisors occurred?  
  Identify any effect on remuneration or staff benefits and any University appointment or recruitment implications?  
  Does the new initiative entail paying staff through the University payroll system and/or invoicing of same?  
  Will staff need to transfer from another organisation to University employment? If so, under what arrangements?  
  Will there be funds to cover LSL/ severance entitlements?  
     
  Building/accommodation Director, Buildings and Property
  Will the activity be located on or off campus?  
  Are the premises in a suitable condition? If no, what is the cost required to remedy this?  
  If part of the University, what are the funding arrangements eg is rent paid, and if so how much?  
  IT, Library and other services Director, Information Services Division
  Will access to University services and infrastructure be required, and if so will these be paid for?  
  Will the arrangement involve use of the University's Internet service? If yes, is the organisation covered under the AARNet agreement?  
  Are student courses likely to be a part of the initiative? If yes, is Student One configured to support the initiative?  
  Will the Library be required to provide access to information resources eg. physical collections or electronic journals and databases?  
  Will the Library be required to provide services eg. loans, information literacy training, subject librarian support, webCT support, document delivery?  
     

Insurance

Does the University's insurance cover the proposed activity? Insurance Officer, Financial Services Division
  If yes, has disclosure been made to the University insurers?  
  If no, what insurance is necessary and at what cost?  
     

Financial

What amount of investment is required - specify both cash and in kind and over what period? Director, Financial Services Division
  Where is the funding coming from? And under what terms and conditions?

Executive Dean

  What are the projected income and expenditures for the next 3 years? Deputy Vice-Chancellor
  Is there any capital expenditure?  
  Identify all major assumptions. Detail accounting policy eg revenue recognition.  
  If the entity is already operating what are the financial reports for the last 3 years? Provide an analysis.  
  What financial benefits are expected eg dividends?  
  Will the initiative use the University’s financial system?  
  Will the accounts be managed by another university or organisation similar in nature to Flinders University?  
     

Governance

What is the legal name of the activity? Is this already registered? Executive Officer, Legal and Contracts, Policy and Secretariat
  What type of legal entity will the activity be undertaken by?  
  Who are the proposed/existing Directors? Names and details.  
  What is Flinders’ right to Directorships? Number of Directors, % of voting power  
  What is Flinders’ ownership interest?  
  What are the details about the other entities involved? What are the results of company searches, creditors search, legal ownership search?  
  Are these other entities suitable partners for Flinders University eg financially, image and reputation? Explain.  
     

Legal and Compliance

Are there any legal issues eg licences, patents etc? Executive Officer, Legal and Contracts, Policy and Secretariat
  How are disputes between partners resolved?  
  How is ownership of intellectual property arising from the arrangement determined?
 
  Are there any confidentiality issues and if so, is a confidentiality agreement required?
 
  Are there any trade practices or competition policy implications?
 
  Are there any occupational health and safety issues?  
  Does the University's Copyright Agreement cover needs, or
is special permission necessary?
Director, Information Services Division
  Is there a risk management framework, policy or practices and do these meet the requirements of the University’s Risk Management Policy?  
     

Taxation

In what country will the business activities be undertaken? Director, Financial Services
  If other than Australia, what taxation requirements apply eg withholding tax form funds repatriated offshore? Tax Accountant, Financial Services
  Is an ABN required?  
  Is the entity required to register for GST? Will the entity be grouped with the University?
 
  Are there any Fringe Benefits Tax considerations?