If you plan to make ends meet and start any business of your own, this guide is for you. In fact, in the following steps of the guide, I will show you, in a fairly detailed way, how to start a business, precisely in Australia. Simply decide on the company name, how to manage your company and how to understand your legal obligations regarding the company name ( Australian Company Number ACN and Australian Business Number ABN ). So let’s see how to proceed.
How to start a business in Australia?
You will need:
Skilled Worker Visa
Work Visa (Sponsorship Visa)
Choose the company structure
The corporate structure is very important, as it directly affects the taxes payable, regulatory obligations, occupational health and safety requirements, etc. There are four structures on which a business can be built in Australia: sole trader, i.e., when the founder is the sole owner of the company and has the right to hire employees; company, i.e., a business that has a separate legal existence for its shareholders; partnership, when more than one person and/or entity is running a business together, but not in the form of a corporation; and trust, which is an entity in possession of the property, income or any other asset for the benefit of a third party.
Choose the name of the activity
In Australia, it is not necessary to register a business name if the company is conducted under the name of the person or persons involved (first and last name, initials of the first or last name, or the company’s full name). A proprietary company must include the word “owner” or the initials “Pty” in its name. It must also demonstrate the liability of its members unless the liability of the partners is unlimited. If the liability of the members of the company is limited, only to the amount paid on the shares, the name of the company must end with the word “Proprietary Limited”; if, on the other hand, the liability of the shareholders is unlimited, the name must end only with the word “owner.”
Avoid names already registered
After that, you can only choose a name that is not already registered. Some names cannot be used in Australia unless first approved by a specific minister or by a government agency (words that cannot be used include trust, university and chamber of commerce). However, words that suggest a connection to the government, royal family or a former military organization cannot be used. Other names that may be rejected are those that are offensive or suggest illegal activity.
Apply for the ABN
It is not legally possible to start a business in Australia if you do not have an ABN. This is an 11-digit number that serves as a government identifier for the company.
Once you have obtained an ABN, you will be able to register your trade name, identify the business to other entities to order goods and services, send invoices, and use credits for various benefits such as energy subsidies. If you are creating a company logo, it is worth considering whether or not the latter needs to be patented to protect against copyright infringement.
You can also register your ABN and trade name separately if you want, but it is much easier to apply for both in Australia.