Moving to a Sole Trustee model

18 June 2018

You may be struggling to fill trustee posts, the scheme could be closed with no active members and you are looking for time and cost efficiencies. Whatever the reason, sole trustee could be a good solution.

The process to move to a sole trustee can be fairly simple, but it is essential that is done well to ensure the appointed sole trustee is a good fit, that stakeholders are happy with the choice and that institutional knowledge isn’t lost.

Review our checklist below to see the required actions and who should take ownership of them.

The Company
  • Decide whether to use a sole trustee
  • Check for legal barriers of Scheme Rule requirements
    • Consider MNT/MND term expiry
    • This may affect the timetable for change
  • Select the sole trustee provider
    • Different models e.g. Team approach vs. sole practitioner
    • Find the right fit, skills and expertise for the Scheme
  • Liaise with the existing Board to facilitate the change:
    • Agree the governance structures
    • Agree transition approach
The Company
  • Understand the Scheme Rules and key documents
  • Liaise with the existing Board to facilitate the change
    • Review the Business Plan and Risk Register
    • Identify on-going trustee projects and time-critical activities
    • Understand the approach to member communications
  • Meet the advisers and build good working relationships
  • Plan secretariat services for business as usual, meetings and reporting
  • Action legal documentation to facilitate changes to trustee structure
  • Get paperwork in order:
    • Notify Plan members, advisers and regulatory bodies
    • Update authorised signatory lists

    Read our sole trustee FAQs for more information on the framework

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