Starting a business often begins with a simple question: “What do I actually need to register?” The answer depends on your business structure, name, expected turnover, industry and whether you will employ people. Getting the foundations right early can make invoicing, tax reporting, banking and future growth much easier to manage.

Start by choosing the right business structure

Before applying for registrations, decide which legal structure will operate the business. This is an important first step because the structure affects who owns the business income and assets, who is legally responsible for debts and obligations, which tax registrations are needed, and how the business can grow or change later.

The most common structures are:

  1. Sole trader

    You operate the business as an individual. This is often the simplest structure for a person starting alone, but you are personally responsible for the business’s obligations.

  2. Partnership

    Two or more people or entities carry on a business together and share its income or losses. A well-prepared partnership agreement can help set expectations around decision-making, contributions, drawings and what happens if a partner leaves.

  3. Company

    A company is a separate legal entity. It can own property, enter contracts and incur liabilities in its own name. However, operating through a company brings additional registration, record-keeping and director obligations.

  4. Trust

    A trust involves a trustee carrying on activities for beneficiaries under a trust deed. Trusts can be useful in the right circumstances, but they need careful establishment and ongoing administration. The trustee, whether an individual or company, is responsible for the trust’s operations.

There is no universally “best” structure. A sole trader arrangement may suit someone testing a low-risk service business, while a company or trust may be more appropriate where there are multiple owners, valuable assets, employees, investors or more significant commercial risk.

It is usually worth obtaining accounting and legal advice before setting up a company or trust. Changing structures later can involve a new Australian Business Number, new registrations, contracts, bank accounts and potential tax consequences.

Choose and check your business name

Your business name is the name customers see when they deal with you. It is different from your business structure.

For example, a person may operate as a sole trader under their own first name and surname without registering a separate business name. If they trade under another name, they will generally need to register that business name. Similarly, a company that trades under a name different from its registered company name will generally need to register that separate trading name.

Before settling on a name, take the time to check:

  • whether the name is available on the business names register;

  • whether a similar company name already exists;

  • whether the name could be confused with an existing brand;

  • whether the name is suitable for your intended products or services;

  • whether relevant online and social media handles are available; and

  • whether a trade mark search identifies an existing registered or pending trade mark that may create risk.

Business name registration is not the same as trade mark protection. Registering a business or company name helps identify the entity operating the business, but it does not automatically give you exclusive intellectual property rights in that name. A registered trade mark may provide stronger legal protection for a brand in relation to specified goods or services.

If your business name is central to your long-term plans, seek advice before investing heavily in signage, packaging, advertising or a website.

Apply for the registrations your structure needs

Once the structure and name are clear, you can move to the core registrations. The Australian Government’s business registration process can allow several registrations to be completed together, depending on the entity and circumstances.

Apply for an Australian Business Number

An Australian Business Number, commonly called an ABN, is an 11-digit identifier used by government agencies, customers and suppliers to identify a business or other enterprise.

An ABN is not simply a number that anyone can obtain for occasional work. The applicant must be carrying on, or genuinely starting, an enterprise. If the registration is reviewed, the applicant may need to show that they commenced business activities or took real steps to commence them from the stated start date.

Information commonly needed for an ABN application may include:

  • the business structure;

  • tax file number details;

  • the identities of relevant associates, such as partners, directors or trustees;

  • the business activity;

  • business contact details;

  • the date business activities are expected to begin; and

  • an Australian Company Number, where the applicant is a company.

For a sole trader, the business generally uses the individual’s existing tax file number. A partnership, trust or company will generally require its own tax file number for its tax affairs.

Register a company, if you are using a company structure

A company must be registered with the Australian Securities and Investments Commission. Once registered, it receives an Australian Company Number, known as an ACN.

Before registering, you will need to make several decisions, including:

  • the proposed company name, unless the company will operate using its ACN;

  • the state or territory of registration;

  • the registered office address and principal place of business;

  • the directors and, if applicable, company secretary;

  • the initial shareholders or members;

  • the share structure; and

  • whether the company will use replaceable rules, a constitution or both.

Written consent should be obtained from people appointed as directors, secretaries and members, as well as from the occupier of the registered office if the company does not occupy that address itself.

A person intending to become a director of a company must apply for their own director identification number before appointment. This is a personal identifier, and another person cannot apply for it on the director’s behalf.

Registering a company is only the beginning. Directors and other officeholders have ongoing duties, including maintaining proper records, keeping company details current and attending to the annual review process.

Register your business name, where required

Once you have an ABN, or an ABN application reference number, you can apply to register a business name if you need one.

The application requires the correct name of the business name holder. This is particularly important for trusts and companies. A trust itself is not generally the legal person operating in the same way as an individual or company, so the trustee’s details must be handled correctly.

You will also need to provide business contact and address information. Some address details may appear on a public register, so consider this carefully, especially where the business is operated from a home address.

After registration, remember that the business name must be renewed when due and details should be updated when they change. Business documents such as invoices and purchase orders should generally show the registered business name and ABN.

Set up your tax registrations early

Not every business needs every tax registration. The right registrations depend on your activities, turnover, employees and the types of goods or services you provide.

GST registration

Goods and services tax, or GST, is one of the most common registrations for Australian businesses.

A business is generally required to register for GST if it is carrying on an enterprise and its GST turnover meets the registration turnover threshold. The standard threshold is currently $75,000, while a higher threshold applies to non-profit bodies. A business that becomes required to register must apply within 21 days after that requirement arises.

You may choose to register voluntarily if you are below the threshold, but this should be a considered decision. GST registration means you may need to:

  • include GST in the price of taxable sales;

  • issue tax invoices when required;

  • lodge business activity statements;

  • keep appropriate records; and

  • account for GST on sales and claim eligible GST credits on business purchases.

Voluntary registration can be useful for some businesses, particularly where customers are GST-registered businesses and the business expects to incur substantial setup costs. It may be less suitable where customers are mainly private consumers and the added GST could affect pricing.

PAYG withholding

If you employ staff or make certain other payments subject to withholding, you need to register for pay as you go, or PAYG, withholding before you are first required to make such a payment. This requirement can apply even where no amount is ultimately withheld from a particular payment.

Employing staff also brings other responsibilities, which may include:

  • working out whether workers are employees or contractors;

  • meeting superannuation obligations;

  • reporting payroll information through Single Touch Payroll;

  • arranging workers compensation insurance where required; and

  • checking payroll tax obligations in the relevant state or territory.

Payroll tax, workers compensation and certain employment-related registrations vary across Australia. The rules depend on where your business operates and where employees perform their work, so do not assume that one state’s rules apply elsewhere.

Other registrations

Depending on the business, you may also need to consider registrations for fringe benefits tax, fuel tax credits, luxury car tax, wine equalisation tax or other industry-specific obligations.

Not every registration should be selected simply because it is available during setup. Register only where it is relevant to your actual or planned activities, and seek advice if you are uncertain.

Check licences, permits and local approvals

An ABN and business name do not give you permission to carry on every type of business activity.

Licences, permits and approvals may be required at Commonwealth, state, territory or local council level. Requirements can depend on the industry, premises, location, products, services and even the way the business advertises or stores goods.

Common examples include businesses involving:

  • food preparation or hospitality;

  • liquor sales;

  • building, trade or professional services;

  • health, beauty or personal services;

  • transport and logistics;

  • childcare or education;

  • property services;

  • importation or exportation;

  • home-based operations;

  • outdoor dining, signage or footpath trading; and

  • environmental, waste or planning matters.

A national licence and permit search service can help identify approvals based on your business activity and location. However, it is still sensible to confirm requirements directly with the relevant regulator or local council before trading.

A business can be properly registered for tax purposes and still be unable to lawfully operate if a required licence, permit, registration or planning approval has been overlooked.

Put practical systems in place before your first sale

Registration is not the finish line. Before sending the first invoice or taking the first payment, set up processes that make compliance and decision-making easier.

A practical startup checklist includes:

  1. Open an appropriate business bank account

    Keeping business income and expenses separate from personal spending makes bookkeeping clearer. Separate accounts are especially important for partnerships, companies and trusts.

  2. Choose a bookkeeping system

    Use a system that records sales, expenses, GST, bills, payroll and bank transactions in a way you can understand and maintain.

  3. Set up invoice templates

    Include your correct business name, ABN and GST information where applicable. Make sure invoices are issued by the correct entity.

  4. Keep source documents

    Retain receipts, invoices, bank statements, contracts, loan documents and payroll records. Tax records generally need to be kept for at least five years, though some records may need to be retained longer depending on the circumstances.

  5. Document ownership and decision-making

    Partnerships should consider a written agreement. Companies should maintain statutory registers and keep records of key decisions. Trusts need proper trustee resolutions and administration.

  6. Plan for cash flow

    Set aside funds for income tax, GST, superannuation, wages and other predictable costs rather than treating every bank balance as available cash.

A simple example

Imagine a graphic designer starting a side business while still employed. They may begin as a sole trader, apply for an ABN, register a business name because they do not want to trade under their personal name, and open a separate bank account for business income and expenses.

If their projected turnover is below the GST registration threshold, they may not need to register for GST immediately. However, they should monitor turnover regularly, keep records from day one and revisit the structure as the business grows, particularly if they bring in a business partner or take on employees.

Keep your registrations accurate as the business changes

Business registrations need attention after setup. Common changes that may need to be reported include:

  • a new business address or contact detail;

  • a change in business activity;

  • a new director, shareholder, partner or trustee;

  • a change to a company’s share structure;

  • commencement or cessation of employment;

  • GST registration or cancellation; and

  • sale, closure or restructuring of the business.

For companies, annual review obligations and company record-keeping are ongoing responsibilities, not optional administration. Company officeholders are expected to ensure details are current, review annual statements and maintain appropriate records.

General information in this article is not personal financial or tax advice. Business registration, structure and tax obligations depend on your specific circumstances, so speak with a registered tax agent or accountant, such as, before making important decisions.

Registering a business properly is about more than obtaining an ABN or choosing a name. The right structure, registrations, licences and systems can give your business a more organised start and help you meet your obligations as it grows. If you would like guidance tailored to your planned business, can help you work through the setup steps with confidence.