Register company in Australia
The process to register company in Australia is hassle-free, if you know how. With Tetra Consultants at the wheel, you will be able to dedicate your time and resources into other more important business channels.
With our lean-and-mean mentality, you can rely on our team of experts to provide you a seamless experience throughout the whole process of Australia business set up. Our ultimate goal is for your newly established company to be operationally ready within the stipulated time frame.
Our business registration service package includes everything you will require to do business in Australia:
- Company registration with Australian Company Registry (ASIC)
- Professional Australia nominee director service
- Local company secretary and registered address
- Corporate bank account opening
- Australia Business Number (ABN) and Tax File Number (TFN)
- Tax registration and annual accounting services
When can I expect to start business?
- Tetra Consultants will complete your Australian company registration within 1 week. After receiving required due diligence documents of the directors and shareholders, Tetra Consultants will search for the availability of your preferred company name in the Australian Company Registry.
- Throughout the whole company registration process, you will not be required to travel to Australia as it can be completed online. Once the incorporation documents are ready, Tetra Consultants legal team will file the application with the Australian Business Register (ABR).
- After registering a company with the ABR, you can expect to receive the legal documents of your new company including certificate of formation, memorandum & articles of association as well as register of directors and shareholders. The certificate of formation will include details such as company name, company number, date of incorporation and registered address.
- Within 4 weeks upon company formation, Tetra Consultants will open a corporate bank account either a local or international reputable bank. Our team will provide you account opening forms and you are not required to travel for the business bank account opening. If additional KYC verifications are required by the bankers, Tetra Consultants will arrange for an online video conference call for all parties.
- Consequently, you can expect to start operations and issue invoices with your Australia company within 5 weeks upon engaging Tetra Consultants.
- If you are keen to know more our Australia business registration service, Tetra Consultants has prepared a step by step explanation of all steps required for Australia company formation.
What types of companies are there?
Being recognized as a business hub in the Asia Pacific region, Australia offers many different types of business structures for you to choose from. Before you set up a company in Australia, Tetra Consultants will fully understand your business model and recommend the most suitable business structure to meet your long-term business needs. You will be advised on tax obligations as well as potential personal liability.
Proprietary Limited Company (Pty Ltd)
- In Australia, the most common type of business entity is the Proprietary Limited Company (Pty Ltd). This is the equivalent of a Limited Liability Company (LLC) in other jurisdictions. For the ease of communication moving forward, we will use Pty Ltd and LLC interchangeably.
- An Australian limited liability company (LLC) is also known as a private proprietary company (Pty Ltd). This is the most common and suitable business entity for foreign investors who are planning to trade in the country. Unlike other business entities, the limited liability company structure is a straightforward and fully independent legal entity.
- Under Australia Corporations Act 2001, an Australian Proprietary Limited Company (Pty Ltd) is a business entity that has at least one shareholder and no more than 50 non-employee shareholders. The shareholders of Pty Ltd are not liable for any debts or obligations incurred by the company and liability is limited to share capital. Hence, the company can operate indefinitely regardless of transfer or changes in ownership or membership.
- All LLCs are required to file annual company tax return with the Australian Taxation Office (ATO). In addition, it is mandatory to register for Goods and Services Tax (GST) if the company’s turnover exceeds $75,000.
- Setting up an Australian limited liability company has minimal requirements. The requirements include:
- 1 shareholder of any nationality
- 1 local resident director
- 1 local resident public officer
- 1 company secretary
- A local Australian registered address
- If you are expecting annual revenue to be highly variable and considering using current losses to offset future profits, an Australian LLC may be the business entity for you.
- Once your company is successfully set up, Tetra Consultants will send you the Australian Company Number (ACN), Australian Business Number (ABN) and Tax File Number (TFN). Our team will also proceed with tax registration to ensure your company remains compliant with local regulations.
Partnership
- Partnership is a business structure that consists of two or more (no more than 20) business partners working together and distributing profits and losses amongst themselves. Some investors choose to set up Australian partnerships because they have minimal reporting requirements and are pretty straightforward to set up.
- There are three types of partnerships, namely General Partnership (GP), Limited Partnership (LP) and Incorporated Limited Partnership (ILP). All three partnerships are required to obtain separate Tax File Numbers (TFN), Australia Business Number (ABN) and file annual Partnership Tax Return with the ATO. During the annual tax return filing, you are required to indicate the partnership income distribution which will be paid duly by each partner.
- For a General Partnership (GP), all partners are subject to unlimited liability. This means that the partners are personally liable for any losses or debts that may be incurred.
- A Limited Partnership (LP) is a safer option as the partners are subject to liability based on their contribution as stated in the partnership agreement.
- An Incorporated Limited Partnership (ILP) is an amalgamation of the above two types. Similar to an LP, partners in an ILP will have limited liability. However, the difference is that there should be at least one general partner with unlimited liability. In the event the debts of the business exceed the contribution of the limited partners, the general partner will be personally liable for the outstanding debts.
- If you are looking to set up business in Australia with other businessmen or to gain access to more capital through partnership loans, Tetra Consultants will recommend you to choose a partnership entity
Trust
- Trust is another business structure that involves two parties, namely the trustee and the beneficiary. The trustee will be legally held accountable for all business assets and operations held by the beneficiary.
- As such, Trust is therefore not a separate legal entity and beneficiaries who received earnings from Trust’s income are liable to pay their own personal income tax. In addition, an official deed that usually will incur high fixed and variable costs is required.
- However, registration with the Companies Registrar is not necessary. Thus, providing Trust with better privacy, unlike a LLC or Pty Ltd. Not only that, the trustee is required to undertake annual administrative matters.
Branch
- A branch is an extension of the parent company that is planning to establish a presence in Australia. As such, the parent company is fully accounted for all liabilities incurred by the Australia branch.
- In addition, the parent company has to register with the ABR and ATO, as well as, appointing a local registered agent/secretary.
- Hence financial statements, including necessary documentation required by the law of the native country where the parent company is held, are required to be submitted to ASIC annually. For more information, kindly visit ASIC website.
Representative Office
- A representative office is often meant for foreign investors who do not intend to carry out business in Australia. As such, they are only allowed to conduct non-commercial activities such as market research and marketing activities for their parent company.
- Hence this business entity is a popular choice for foreign investors who are planning to promote their presence, as well as seeking to explore the potential market before settling for Australia
How to register a company in Australia?
In order to register your business in Australia, you must follow these steps:
Step 1: Choose a suitable business structure
- There are various forms of business structures available in Australia to choose from including the following:
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- Sole Proprietorship
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- Partnership
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- Limited Liability Company
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- Holding Company
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- Branch Office
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- Representative Office
- Once our team of experts at Tetra Consultants understands your business model, requirements, and objectives, we will recommend a suitable business structure for you.
Step 2: Register the business with the Australian Business Registration System (BRS)
- You are required to submit your business with the Business Registration Service to receive an Australian Business Number (ABN) or Australian Company Number (ACN), depending on your chosen business entity.
Step 3: Reserve your preferred business name
- You must then check for the availability of and reserve your preferred business name. This can either be done with the previous step or you must apply to the Australian Securities and Investments Commission (ASIC) to do the same.
Step 4: Register your business
- You must review the application and submit all the required documents including the Article of Incorporation.
- In this step, you must also pay the government fees.
- Once registration is completed, Tetra Consultants will collect all the incorporation documents including the Certificate of Registration, Memorandum and Articles of Association, and more.
Step 5: Meeting all the post-registration requirements
- Tetra Consultants will register your business for tax with the Australian Taxation Office and receive a Business Tax File Number which is needed to conduct business in Australia.
- Our team will also obtain a business license for your business, depending on your business activity and location.
- We will also obtain insurance for your business, if required.
Step 6: Open a corporate bank account
- Tetra Consultants will leverage our extensive banking network to open a corporate bank account for your business.
Step 7: Staying Compliant
- After registration of your business is completed, Tetra Consultants will continue to ensure your business’s compliance with the government policies.
- We will assist you in making timely payments of tax and filing for annual tax returns.
- Moreover, in case of any changes in the company’s structure, we will inform the relevant authorities on your behalf.
Why choose to register company in Australia?
Before you set up an Australian company, it is important to understand the business landscape of the jurisdiction. This is to ensure that your newly established entity will be able to safely and legally conduct business, while striving towards your long-term business goals.
Political
- According to Transparency International, Australia Corruption Perceptions Index was ranked 12 out of 180 countries in 2019.
- Australia is a member of multiple global organizations such as the World Trade Organization, OECD, G-20 and Commonwealth of Nations.
Economical
- According to the Global Competitiveness Report published by the World Economic Forum, Australia was awarded a score of 78.75%. This means the country is the 16th most competitive nation in the world.
- According to the IMF’s World Economic Outlook Database, Australia is the 14th largest economy in the world. It is also the 11th highest in terms of GDP per capita.
- The economy has been growing steadily for the past twenty years and boasts a low unemployment rate, low public debt and low inflation rate.
Social
- Australia boasts a literacy rate of 99%. By setting up business in Australia, you will have access to a capable and highly-skilled labour force.
Technological
- The local government is open to technological innovations such as FinTech and cryptocurrencies. For example, the government introduces the Australian Financial Services (AFS) licence for businesses to conduct financial services business.
- In 2017, cryptocurrencies are declared as legal in Australia and will be treated as property. Consequently, cryptocurrency will be subject to capital gains tax.
Legal
- The official language in Australia is English. As such, there is minimal business inconvenience that can occur due to miscommunication. Your corporate documents will be in English and all local banks offer internet banking in English.
- According to the latest annual ratings given by the World Bank, Australia is globally ranked 14th in terms of ease of doing business, due to the straightforward business set up process.
- Australia has implemented fair trading laws, competition laws and consumer laws to ensure fairness for both businesses and consumers. This is to ensure a level playing field and that no industry is subject to monopolies.
Environmental
- According to the Environment Performance Index, Australia is globally ranked 21st. This shows that the local government has imposed adequate measures to ensure the country enjoys high economic growth, while maintaining minimal pollution.
- One of the major challenges faced by Australia is the issue of natural climate change. This results in growing concerns over water insecurity and widespread infectious diseases.
Find out more!
Contact us to find out more about how to set up a company in Australia. Our team of experts will revert within the next 24 hours.
FAQ
Can a foreigner register a company in Australia?
- Yes. If a foreigner meets the minimum legal requirements, he can proceed with registering a company in Australia. The foreigner is allowed to own 100% of the shares of the company and be appointed as the director. However, he requires a local resident director and a local registered address.
How do I check if a company is registered in Australia?
- Tetra Consultants will recommend you to use the ‘Organisations and Business Names’ function on ASIC website. You can search either by the company’s name or the company’s Australian Company Number (ACN).
How do I register a small business in Australia?
- This ultimately depends on the type of business structure and business activity you are intending to carry out. For most of our clients, Tetra Consultants will recommend you to set up a LLC or Pty Ltd. If required, we are able to provide the nominee director services and bank account opening.
How much does it cost to register a company in Australia?
- The engagement fee depends on the services you require from Tetra Consultants. Prior to each engagement, our team will fully understand your business needs and inform you of the exact services you require.
- For example, you may not require nominee director services if you have a local business partner or family member. Alternatively, you may not require our bank account opening services if you already have a bank account with some banks.
- Tetra Consultants’ fees include government fees such as business name reservation charges, company registration fees and tax registration costs.
Are there any hidden fees throughout the engagement?
- Tetra Consultants believes in transparency between our firm and our international clients. All terms and conditions will be stated clearly within the appointment letter to ensure that there are no hidden fees.
- Our engagement fees consist of the government fees for company formation. However, it does not include third-party fees such as notarization, translation or legalization.
How to register the business name in Australia?
- To register a business name in Australia, you are required to provide Tetra Consultants the initial KYC documents such as proof of identity, details of business activities as well as the business structure.
- Once the above information is attained, Tetra Consultants will check the availability of the chosen business name with ASIC (Australian Securities & Investments Commissions).
- On average, the confirmation of business name will be received within 2 to 5 business days.
How long does it take to complete online company registration in Australia?
- On average, the online company registration in Australia will be completed by Tetra Consultants within 5 days. This depends on the provision of all the documents required by the government and the method of payment used to register the business name (Credit card, Bank transfer, etc). If you are urgently looking for an Australian entity, Tetra Consultants can either provide you an Australian shelf company or express registration within 2 business days.
How do I proceed with Australia LLC or Pty Ltd registration?
- LLC (Limited Liability Company) is a form of business structure wherein the owner is not liable for the debt and liabilities of the company. This can be public or private. In Australia, this is also known as Proprietary Limited (Pty Ltd) company.
- Tetra Consultants has come up with a step-by-step guide on how to incorporate an Australian company.
What is the cost of registering a business name in Australia?
- The cost of registering a business name in Australia depends on the chosen time-period. If the registration is made for one year then the cost is $37 and if it is for three years, then the cost is $87. However, if the business wishes to just reserve the business name for 2 months, they need to pay a fee of $51. Hence, the final amount may vary depending on the business needs.
Can I do business on a student visa in Australia?
- Yes, you can do business on a student visa in Australia. However, on a student visa, you can work a maximum of 20 hours weekly during the term. Moreover, you must also meet your studying requirements so as to not violate the student visa requirement.
- To establish any business, you must register through the Business Registration System to receive the ABN. Following this, the procedure differs depending on the choice of business structure. If you want to start a Limited Liability Company specifically, you must formally register the company through ASIC. However, for this, a local resident director is required.
How to register a company in Australia from India?
- If you are a foreigner from India planning to register an Australian entity as the director and shareholder, you are required to appoint a local resident director as well as have a local office address. Tetra Consultants will provide the full-service package of company registration, corporate secretarial services and corporate bank account opening. In the event you decide to move to Australia to work, Tetra Consultants will assist with your visa application.
How to register a public company in Australia?
- The steps are similar to that of registering a Pty Ltd in Australia. However, there are additional requirements to be met before registering a public company in Australia. You are required to appoint three directors, two of which must be locals. In addition, the financial statements of the business must be audited.