The first thing you must do before attempting to have an Australia company formation is to determine for yourself if a company is really what will meet your requirements, or if you would benefit more from another type of business arrangement. Perhaps you will even need to visit a financial professional for advice.
Forming a company allows you to do business anywhere in Australia. It also gives you the opportunity to use other rights given to you, like limited liability or corporate tax rates.
Keep in mind too, that registering a company name is not the same as registering the name of a business.
You are further able to register various kinds of companies, such as:
. non profit or charitable organizations
. companies for special purposes
. Australian registrable bodies
Company Formation in Australia – Selecting a Company Name
Some things you need to think about when selecting a name for your company are:
A company’s name is not permitted to be the same as that of an already existing company.
You can check online to find out if the name you have in mind is not already taken.
There are some instances in which you may be able to register a name that is identical for the company. You will have to inquire about these.
Only certain characters and terms may be included in the name of a company.
You can look online to find a list of characters and terms that are considered acceptable to go with a company’s name. This would apply even for Australia company incorporation.
Company Formation in Australia – Reserve a Company Name
If your company isn’t ready to be registered yet, but you have your heart set on a certain name and want to be positive that it will still be available, you can file an application to have it reserved for your Austalia company formation. If it receives approval, the name will be reserved for a total of two months. Should you need longer, you will need to apply again.
How Will the Company Be Governed
Before you can think about registering a company name, you have to consider how your company is going to operate. There are three ways in which this can be done:
. replaceable rules
. a company constitution
. both combined together
Now for company formation in Australia, you can use what are called replaceable rules. They are found in the Corporations Act and are a set of basic rules for the running and administration of your company. In lieu of a constitution, a company can just use the replaceable rules.
Company Formation in Australia – Constitution
If a company prefers, they can have a written constitution rather than implementing replaceable rules. In this case the company needs to keep a copy of that constitution along with the records of the company.
Have a Solid Comprehension of the Duties and Obligations of an Officeholder
Should you be an officeholder in a company, you are required to obey the rules in the Corporations Act. Part of this is upholding your legal obligations:
. making certain important company details are updated
. upkeeping records and company details on the register
. making certain the correct lodgment and yearly review fees are paid.
When all is said and done, it is the officeholders who have the duty to make sure of a company’s adherence to the Corporations Act.
Obtain Agreement from Officeholders, Occupiers, and Members
You need to have written agreement from the people that will take on these roles:
. Director (over 18)
. Member (it is necessary for every company to have at least a single member).
. Secretary (over 18)
One director or secretary needs to live in Australia.
The above are just some of the rules for Australia company formation. This is only a sampling, as there are far too many to write them all down. But it provides you with an idea of what’s required to start up a company in Australia.
Detailed information you can request from BRIS GROUP – company formation agency