Base extension for ATO: possible?

[Gerber]

Hi guys
I am posting this in this section opposed to the Training page, as I hope more folks will be see and therefore respond to my question.

The scenario: I am a Class C LSA instructor, living in rural KZN. I have access to a Cheetah, which is on my instructors rating. There is a local who wants to buy the aircraft from the current owner, and wants to do his training in our area, as the nearest LSA flight school is more than 2 hours drive away.

The question: Would it be possible for me to operate under an existing ATO as a base extension or satellite base? If so, what would the implications be? Does training fall under CAA or RAASA?

Your input will be appreciated.

Thanks