How to Form a Company in Australia
Starting a company and choosing the right structure is not an easy task. In Australia, the process is not faced with obstructions. Below are the guidelines on how to form a company in Australia.
Ensure you choose the right company. There are numerous categories of companies such as charitable 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.
You should select the name of a company. The company name you choose will not be registered if an existing business or company uses it. 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. If you are not settled on registering your company, you can request a name to be preserved for a period not exceeding two months, after which you have to re-reserve the name again.
Ensure you know how the company will be governed. You can get your company governed through replaceable rules if you do not want it to use a constitution. Using replaceable rules will exempt your company from keeping on being updated because of changes in the law. Secondly, you can write a constitution with which your company should be governed. A proprietary company that has one officeholder needs to have neither a constitution nor the replaceable rules.
Understand your roles as an officeholder. 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.
Ensure you have the consent of officeholders, occupiers, and members. You ought to obtain a written permission from the individuals that will serve in the capacity of secretaries, directors, and members. Proprietary companies are needed to have a minimum of one secretary and director residing in Australia. Public companies are needed to have a minimum of two directors residing in Australia. 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, you can register with a private service provider that offers online services with ASIC. It is possible to register your company with ASIC directly by completing their form then mail it to their offices.