Commerce has radically changed for the better since the turn of the century, with the World Wide Web developing to such a degree that we can all enjoy real-time video calls; entrepreneurs are now operating on a global scale. In former times, it would have been a monumental challenge to set up a business in a foreign country, yet we can do this without having to leave our home, thanks to the Internet.
In this short article, we offer useful information for foreign investors who wish to engage in company registration in Australia.
Various business entities
There are three options for setting up a business in Australia;
- Registered foreign company – This would be a branch office of an existing foreign company, with all liability held by the parent company. The business must be registered with ASIC, it must have a Local Agent and Resident Public Officer; plus an annual tax return must be submitted. Maintaining compliance involves planning and managing local board meetings, registering any changes to the business, and maintaining statutory registers.
- Private Limited Company (PLC) – A trading entity that must be ASIC registered, a PLC limits liability, while the entity must have a Resident Director and Resident Public Officer. An annual tax return must be filed and this option is the most popular and can be set up within one month. An international law firm can facilitate the registration process, assist with opening bank accounts and registering for GST. The legal professional also offers sound advice to ensure that you make all the right choices.
- Representative Office – The RO is ideal for a foreign business that wishes to carry out market research in Australia; a short-term option with the parent company holding liability. No company officers are required, no ASIC registration and no annual tax return are required.
Receiving sound legal advice
If you are intent on setting up a business in Australia, it is paramount that you sit down with a business lawyer in order to make the right choices. The legal professional will ask you about your long-term goals so that they can guide you correctly and when you are ready to go ahead with the business registration, they can facilitate this on your behalf. Of course, compliance is crucial and when you are moving into a largely unknown market in a foreign country, you are not in familiar territory, which is even more of a reason to engage the services of a specialist. Click here to find out how to keep your business tech running smoothly.
Take the first step
Search online for a leading Australian law firm, one that has a wealth of hands-on experience in setting up businesses for foreign entrepreneurs. Google can help by bringing up a list of Australian law firms, then you can browse and choose the one that you think best meets your needs.
The process of registering a business in Australia can take from 1-3 months and with an experienced legal professional in your corner, the process should be smooth and uneventful.
