Can an Accountant Incorporate a Business?
Starting a business in Australia requires strategic planning, compliance with legal requirements, and a structured setup. A common question for entrepreneurs is: Can an accountant incorporate a business? The short answer is yes—but with limitations.
Understanding Business Incorporation in Australia
Incorporating a business means registering it as a separate legal entity, usually a company. This involves compliance with the Australian Securities and Investments Commission (ASIC) and the Australian Taxation Office (ATO).
Can an Accountant Register a Company?
✔ Guidance & Compliance: Accountants are well-versed in business structures and can advise on the best one for you—whether it’s a sole trader, partnership, trust, or company.
✔ ASIC & ATO Registrations: While accountants can assist with ASIC registrations, they cannot legally form a company on your behalf unless they are a registered ASIC agent or lawyer.
✔ Tax & Financial Compliance: An accountant ensures the business is set up correctly for GST, PAYG withholding, and corporate tax obligations.
✔ ASIC & ATO Registrations: While accountants can assist with ASIC registrations, they cannot legally form a company on your behalf unless they are a registered ASIC agent or lawyer.
✔ Tax & Financial Compliance: An accountant ensures the business is set up correctly for GST, PAYG withholding, and corporate tax obligations.
Steps to Incorporating a Business in Australia
1️⃣ Choose a Business Structure
- Sole Trader – Simple and cost-effective but offers no legal separation from personal assets.
- Company – A separate legal entity offering liability protection but requiring ASIC registration.
- Trust – Useful for asset protection and tax planning.
- Partnership – Two or more individuals share profits and liabilities.
- Learn more about business structures
2️⃣ Register with ASIC
- Choose a company name (ensure it’s unique).
- Appoint directors and shareholders.
- Obtain an Australian Company Number (ACN).
3️⃣ Apply for an ABN & Tax Registrations
- Register for an Australian Business Number (ABN).
- Consider GST & PAYG obligations.
- Online Tax Return Services
4️⃣ Set Up Business Banking & Compliance
- Open a separate business bank account.
- Ensure record-keeping compliance with accounting software like Xero or MYOB.
Do You Need a Lawyer for Incorporation?
While accountants advise and assist with company setup, only lawyers can provide legal documentation and governance advice related to shareholder agreements, contracts, and legal disputes.
How Bottrell Accounting Can Help
At Bottrell Accounting, we guide business owners through the incorporation process by:
✔ Advising on the best business structure
✔ Assisting with ASIC & ATO registrations
✔ Setting up Xero & MYOB for accounting compliance
✔ Offering ongoing tax, payroll, and financial planning
✔ Advising on the best business structure
✔ Assisting with ASIC & ATO registrations
✔ Setting up Xero & MYOB for accounting compliance
✔ Offering ongoing tax, payroll, and financial planning
Our Locations:
- Newcastle – Newcastle Accountants
- Maitland – Maitland Accountants
- East Maitland – East Maitland Accountants
Contact Us: Bottrell Accounting | (02) 4933 6888
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