How To Set Up A Business In Australia?

How To Set Up A Business In Australia?

Setting up a business is not an easy decision to make. You need to be well-prepared for the challenges ahead and make sure that you can meet the demands and stay focused despite the distractions. If you have been dreaming to become a successful business owner, you need to comply with the requirements involved in product development, marketing, finance and many others. Your business will not be in operation if you still lack the basic but essential requirements. 

1. Know your business structure

It can be pretty exciting to toy with the idea of putting up a business, but behind the aesthetics are processes that you may not be prepared to face. The first step to starting a business is determining your business structure. It is vital to know the kind of structure that suits you and find out the advantages of each so you will know how you are going to manage your business. Do you prefer to be a sole trader or be in a partnership? 

2. Register your business

You will also need to business name to give your company an identity. It is also important to note that having a business name is not enough as you need to get it registered. You might run the risk of sharing the same name with another business. Registration should take precedence over creating business cards, websites, business cards and logos. The Australian Securities and Investments Commission (ASIC) still has to accept your business name prior to using it. Aside from your business name, you will also have to registered your logo as a trademark. 

3. Get an ABN

An Australian Business Number (ABN) is essential to businesses that are registered to collect GST. The number can be secured from the website of Australian Business Register. Aside from ABN, you will also secure a Tax File Number (TFN) from the ATO if you are in a partnership. 

4. Familiarise PAYG payments

All employees must make PAYG payments and as a business owner, you need to know the taxable amounts deducted from your employees' salaries. You will also need your accountant's advice when it comes to meeting your tax obligations. 

5. Secure licenses, permits 

Permits and licenses are important for your business to be in operation. It is also imperative that you check ATO's website so you will have an idea about your eligibility for fuel tax credits. It will also be helpful if you familiarise yourself with consumer and privacy laws as they are also part of your legal responsibilities in setting up a business. 

Tamara Deterding

Written by : Tamara Deterding