Tips for Company Formation in Australia
Setting up a company and deciding on the right structure should not be taken easily. In Australia, incorporating a company is straightforward. Below are the tips that will help you in company formation in Australia.
Ensure you choose the right company. There are different types of companies including charitable companies, and special purpose companies. You need to settle on the company that aligns with your needs as well as if there is the need of using a different business structure.
Choose a company name. Your company name cannot be registered if it is being used by another company or business. A name with words that misguide clients on the business of a company and those considered offensive or displays illegality cannot be registered. The names of companies should display the liabilities and statuses of their members. In case you are not ready to get your company registered, you can apply for its reservation for a maximum period of two months after which reservation ought to be done again.
Ensure you know how the company will be governed. Your company can be governed by replaceable rules if it does not want to have a constitution. If you use replaceable rules, you will not need to make alterations with changes in the law. Secondly, you can write a constitution with which your company should be governed. A proprietary company with one officeholder does not require either constitution or replaceable rules.
Each officeholder should know what is expected of them. In case you are an officeholder of a company, you need to comply with the requirements in the Corporations Act. Among these is carrying out your legal roles such as paying the needed fees, maintaining company records, and ensuring information about a company keeps updated. The ultimate duty of officeholders is making sure that a company complies with the Corporations Act.
Get the consent of members, occupiers, and officeholders. You should have a written consent from the individuals who will be directors, secretaries, members. Proprietary companies are needed to have a minimum of one secretary and director residing in Australia. At least two directors are needed to be residents of Australia for any public company If the offices you are using to register are not owned by the company, a written consent is needed to show consent of using its address.
Register your company. You can register your company online by applying for an ABN from the Government Business Registration Service. Secondly, it is possible to get your company registered by a private service provider responsible with providing online services with ASIC. It is possible to register your company with ASIC directly by completing their form then mail it to their offices.