Types of Company in Australia
KGN Services specializes in New Zealand Company Formation and opening bank accounts.
In Australia, companies fall into one of the following categories:
- Private (proprietary)
Private companies are the most common. The number of non-employee shareholders is limited to 50. For public companies, this number is unlimited. When classified by shareholders liability, common options include:
- limited by shares
- unlimited share capital
- limited by shares
- limited by guarantee
- unlimited with share capital
- no liability
Procedures for Company Formation in Australia
To establish a company in Australia, it’s necessary to complete the following procedures:
- Company registration
- Business Tax File Number (TFN)
- Australian Business Number (ABN)
- Business name registration
Company registration can be performed either through Business Registration Service (BRS) provided by the Australian Government or through private service providers. Registration applications can usually be submitted online. However, for some company types, only paper applications are possible (e.g., a company with unlimited liability, a public company).
After the request is processed, the company will be given an ACN (Australian Company Number), and the owner will be provided with a registration certificate. Using ACN, one can apply for ABN.
How to Choose a Name When Performing Company Registration in Australia
When establishing a company, you can select a name for it or just use an ABN number. If you are going to give your company a name, keep the following requirements in mind:
- It should be unique
- It should reflect the company’s legal status (e.g. ‘Pty Ltd’)
- Some words are not allowed without special permission from the Government (e.g. ‘bank’, ‘Royal’, ‘trust’)
It’s convenient to apply for the Business name registration simultaneously with the ABN, but remember that those two are separate procedures with separate fees.
People also ask
How much does it cost to register a company in Australia?
Registration fees differ depending on the type of company. Usually, costs fall within the range of $660-$989.
How do I form a company in Australia?
To form a company in Australia, you first need to apply for registration at the Australian Securities and Investments Commission (ASIC). With the company registration number you are provided with, you can register its name and tax file number.
How much does it cost to get an ABN in Australia?
ABN fees differ depending on the type of business. For most companies, it would be $88, and in the case of a non-resident business, $290.
Can a foreigner register a company in Australia?
Yes, it is possible.