Maximum revenue | Queensland Building and Construction Commission
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What is maximum revenue?

Maximum revenue is the maximum turnover your business can earn in a financial year.

The QBCC limits your permitted annual maximum revenue based on your financial situation. This is to ensure you can continually pay wages, pay suppliers, pay sub-contractors, service debts and cover any other costs you may incur during the operations of your business.

Alternatively, you may nominate a lower amount of maximum revenue than that which is determined by the QBCC.

Once declared, you are not allowed to increase your maximum revenue by more than 10% in a financial year without obtaining prior approval from the QBCC.

If you want to increase your turnover by more than 10%, you must first provide us with a new financial declaration or MFR report (depending on your MR category) that shows you have enough equity to support the increase.

Calculating your allowable maximum revenue

Maximum revenue for a licensee is calculated using:

  • their net tangible assets (total assets minus total liabilities), and
  • any other assets promised by a third party (through a deed of covenant). The assets from a covenantor, assured through a deed of covenant and assurance, are added together with the licensee’s net tangible assets, to provide the maximum revenue amount for the licensee. 

What income counts as annual revenue?

The annual revenue for the reporting year includes the total income a licensee receives. This includes income from:

  • the building and construction industry
  • any other source
  • from within Queensland, interstate and overseas
  • BUT EXCLUDES any personal wages and salary a licensee receives.

Recapping, the total income for a financial year includes all income received by the licensee, regardless of whether it is earnt in Queensland and/or is related to building or construction.

In the case of a partnership, the revenue is to be a combination of the revenue of:

  • the licensee and
  • the partnership in combination.  

In the case of a trustee, the revenue is to be a combination of the revenue of:

  • the trustee and
  • the trust.

Case study—revenue from project managing

Richard is a project manager for a commercial builder. He is currently managing a $10 million project to build a new supermarket. When stating his revenue, he will include the amounts paid to him directly from the project, not the value of the project.

Case study—revenue from buying and selling houses

Suzanne is a builder. Over the past year, she built and sold 2 speculative dwellings. She also renovated two houses. She lived in one of these houses for 6 months and then sold both of them. She is currently living in and renovating another property. Suzanne will include the proceeds from the sale of the four houses she built/renovated and sold in her revenue for the financial year.

Calculate your maximum revenue

How much revenue can you earn based on your current NTA?

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Calculator tool

Calculate your required NTA

What value of NTA do you need to cover your known revenue?

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Financial categories (MR)

Your calculated maximum revenue, based on your accepted net tangible asset position, will place you into 1 of 9 financial categories (see table below).  

Your licence or financial category is NOT the maximum revenue amount set on your licence - it is just a range used to calculate your licence renewal fee and determines the level of financial information required to be provided to QBCC. The licence category is the information reflected on your licence. You can use our licence search to check your category - search on QBCC’s website - this is the only public information we release in relation to your financial position.

Your maximum revenue which is calculated on your net tangible asset position is the specific dollar amount you are capped at turning over or earning each financial year, and the specific dollar amount set will be within that licence category range.

Your maximum revenue amount can only be updated by making an application to the QBCC and providing the required financial documentation (which usually consists of an MFR Report and signed financial statements).

NTAMaximum revenueFinancial category
$12,000Up to $200,000SC1
$46,000Up to $800,000SC2
$46,001 - $156,000$800,001 - $3,000,000Category 1
$156,001 - $480,000$3,000,001 - $12,000,000Category 2
$480,001 - $1,200,000$12,000,001 - $30,000,000Category 3
$1,200,001 - $2,400,000$30,000,001 - $60,000,000Category 4
$2,400,001 - $4,800,000$60,000,001 - $120,000,000Category 5
$4,800,001 - 14,400,000$120,000,001 - $240,000,000Category 6
>$14.4M>$240M NTACategory 7

How to adjust your maximum revenue

You can exceed your MR by up to 10% without obtaining prior approval from us.

If you are going to exceed your MR by more than 10%, you must first provide us with a new financial declaration or MFR report that supports the increase.

If your financial position changes you may need to adjust to a lower maximum revenue category.  

Below outlines the process for adjusting your maximum revenue based on your financial category.

  1. Firstly you must declare your new financial position.

    Download and complete the relevant declaration:

    MFR declaration for SC1 (PDF, 59KB)

    MFR declaration for SC2 (PDF, 59KB)

  2. Then you must apply to us to have your allowable maximum revenue adjusted.

    Download and complete the application form:

    Change to maximum revenue application form (PDF, 63KB)

  3. If downgrading from Cat 1-7 to a SC1 or SC2 licensee (SC1 or SC2), you must also provide:

    • Application to change of maximum revenue form and;
    • MFR Declaration for Maximum Revenue $200,000 (SC1) or $800,000 (SC2) and;
    • A profit and loss and balance sheet for the most recent quarter ending (ie either 30 June, 30 September, 31 December, or 31 March). There is no 4 month age requirement for this information.
    • Please note that SC1 and SC2 licensees can not rely upon deed of covenant and assurance assets being assured to meet the net tangible asset requirement (only categories 1 to 7 can rely upon assured deed amounts).
  4. You will need to provide us with the completed:

    • MR application form
    • MFR declaration.

    You can lodge it with us:

  1. You will need to provide an MFR report and supporting documentation that demonstrates you can meet the minimum financial requirements for the proposed maximum revenue.

    Currency of financial information

    The financial information provided for an MFR Report must be:

    • no more than 4 months old as at the day the report is signed by a qualified accountant
    • signed by a qualified accountant no more than 30 days before the day the report is given to the commission.

    The licensee is responsible for providing accurate financial information to the independent qualified accountant.

    Required documents

    The supporting documents that must accompany an MFR report include the documents below.

    • For categories 1-3, an MFR Report can be prepared using Special Purpose Financial Statements (all relevant accounting standards need to be applied).
    • For categories 4-7, an MFR Report must be prepared using General Purpose Financial Statements.

    Signed financial statements is defined as follows under the MFR Regulation:

    1. Financial statements prepared under the prescribed accounting standards, including:
      • profit and loss statement
      • balance sheet
      • an aged debtors and creditors report that includes the date each invoice is due to be paid or received
      • a statement of cash flows
    2. Notes to the financial statements mentioned in paragraph 1 required under the prescribed accounting standards
    3. A declaration signed by the licensee, or an executive officer of the licensee, verifying the information contained in the documents mentioned in points 1 and 2 above
    4. A description of:
      • the measurement, within the meaning of the prescribed accounting standards, on which the financial statements mentioned in point 1 are based, and
      • the accounting policies or reports relevant to the financial statements.
    5. For a category 4, 5, 6 or 7 licensee – details of each debtor for the licensee, categorised according to whether the amounts owing became due and payable in the following periods:
      • Less than 90 days before the day the statements are made
      • 90 to 179 days before the day the statements are made
      • 180 to 365 days before the day the statements are made
      • More than 365 days before the day the statements are made.

    Note the requirements for different business or finance structures:

    • If the licensee is a trustee for a trust – the signed financial statements of the trust and the trustee
    • If the licensee is a partner in a partnership – the signed financial statements of the partnership and the partner
    • If the MFR report relies upon a deed of covenant and assurance—a completed Covenantors statement of financial position for each covenantor

    Consolidated group

    Where the licensee operates within a group of companies, the licensee can rely upon the consolidated accounts of the group where the licensee and all other entities in the group are party to the same deed of cross guarantee (ASIC Class Order 98/1418 or similar). This is often referred to as the closed group.

    If there is no deed of cross guarantee in place, then the licensee can only rely upon the standalone financial statements of the licensee.

    The licensee should provide evidence that there is a deed of cross guarantee in place.\

    Stated NTA for financial category 

    An accountant completing the MFR Report may restrict the licensee’s maximum revenue to the category required by stating the Net Tangible Assets (NTA) as only the amount required for the level of maximum revenue being sought.

    Example: Licensee has a NTA of $250,000 which would provide for a maximum revenue of more than $5.6 million. If the licensee only wants a Maximum Revenue (MR) of $3,000,000, the accountant can restrict (limit) the MR to $3,000,000 by stating ‘at least’ $156,000 NTA in the MFR Report.

    You can refer to the Maximum revenue (MR) or net tangible asset (NTA) calculator to calculate what value of NTA is required to cover a desired maximum revenue. 

    Learn more about:

  2. Download and complete the relevant report template:

    Sections of the form must be completed and signed by both:

    • the licensee
    • the independent accountant
  3. Download and complete the application form:

    Change to maximum revenue application form (PDF, 63KB)

  4. You will need to provide us with the completed:

    • MR application form
    • MFR report
    • supporting financial information.

    You can lodge it with us:

What happens next?

Please allow for up to 8 weeks for us to assess your application and financial information.

We will inform you by email if you application has been successful.


Last reviewed: 27 Mar 2025 Last published: 27 Mar 2025
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