Tips for Company Formation in Australia
Creating a company and selecting on the right structure is a hard task. In Australia, incorporating a company is straightforward. Below are the tips that will help you in company formation in Australia.
You should decide on the right company. There are numerous categories of companies such as charitable and special purpose companies. You need to decide whether a company is suitable for your needs or if you should use another business structure.
Ensure you decide on the company name. The company name you choose will not be registered if an existing business or company uses it. You cannot use words that would misguide people on the activities of a company or if it is considered offensive or points to illegal activity. 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.
Decide on how your company will operate. Your company can be governed by replaceable rules if it does not want to have a constitution. If you use replaceable rules, you will not need to make alterations with 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.
Every officeholder should understand their roles. Being one of the officeholders of a company needs that you adhere to Corporations Act requirements. 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.
You should obtain consent from occupiers, officeholders, and members. You need to have a written approval from the people that will serve as members, secretaries, and directors. A proprietary company should have one director and secretary residing in Australia. At least two directors are needed to be residents of Australia for any public company If the company does not own the registered offices, you should have a written permission of using the address.
Get your company registered. You can request for an ABN then use the Government Business Registration Service to register your company online. 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.