How much does it cost to set up a wholesale fund in Australia?
“How much does it cost?” is one of the first questions a new fund manager asks. The honest answer depends on your structure, strategy, service providers and timeline. This guide gives realistic ranges and walks through the components so you can build your own estimate.
We split costs into two categories: one-off setup costs and ongoing operating costs. Ongoing costs matter more — they are usually three to five times the setup cost in any given year, and they never go away.
One-off setup costs
For a straightforward wholesale fund, all-in setup typically sits in the tens of thousands rather than hundreds of thousands of dollars.
| Cost item | Low | High |
|---|---|---|
| Legal | $20,000 | $60,000 |
| Tax advice | $5,000 | $15,000 |
| Licensing (CAR pathway) | $5,000 | $15,000 |
| Trustee establishment | $5,000 | $15,000 |
| Administration setup | $2,000 | $10,000 |
| Insurance (first year) | $5,000 | $25,000 |
| Other | $5,000 | $10,000 |
| Indicative total | $47,000 | $150,000 |
Ongoing annual costs
These numbers determine whether your fund is commercially sustainable.
| Cost item | Low | High |
|---|---|---|
| Licensing (CAR pathway, ongoing) | $20,000 | $60,000 |
| Trustee fees | $20,000 | $60,000 |
| Administration and registry | $25,000 | $80,000 |
| Audit | $10,000 | $35,000 |
| Tax compliance | $5,000 | $20,000 |
| Insurance | $5,000 | $25,000 |
| Technology and software | $5,000 | $20,000 |
| Indicative total | $90,000 | $300,000 |
How fund size affects viability
Setup and operating costs are largely fixed. A $5 million fund pays roughly the same trustee, administrator and audit fees as a $20 million fund. Understanding the cost base early — and designing fees accordingly — is critical.
Working with FundPro
FundPro provides licensing, trustee and fund administration services to investment managers across private credit, property, venture capital, private equity and other unlisted asset classes. We offer transparent, fixed-fee proposals tailored to each fund. Get in touch at info@fundpro.com.au.
This article provides general information only and does not constitute legal, tax or financial advice.