Steps for Forming a Company 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.
Settle on the right company. There are different types of companies including charitable companies, and special purpose companies. You should determine the company that suits your needs or if you have to use a different business structure.
You should select the name of a company. 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. A company name should show the liability its members have and status. 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. In case you do not desire your company to be governed by a constitution, you can use replaceable rules. Using replaceable rules implies that a company will not need to be updating it due to changes in the law. Secondly, your company can get governed through a written constitution. A proprietary company with one officeholder does not require either constitution or replaceable rules.
Each officeholder should know what is expected of them. Being one of the officeholders of a company needs that you adhere to Corporations Act requirements. These include performing your legal duties such as ensuring company details are updated, maintaining company records, and paying the necessary fees. The ultimate duty of officeholders is making sure that a company complies with the Corporations Act.
You should obtain consent from occupiers, officeholders, and members. 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. Public companies are needed to have a minimum of two directors residing in Australia. In case the offices you are registering with are not owned by the company, it is necessary r provide a written consent of using the address.
Ensure your company gets registered. 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.