Australia is a business friendly country which offers various SOPs and incentives to establish business in any of its cities. However, it is to be understood that while establishing a business in Australia, whether small or large, you have to comply with the government regulations so that there are no complications. Here are the major rules or compliances that you must follow in order to start a small business in Australia:
The initial steps to start a business in Australia involve:
The new companies have to register with the Australian Securities and Investments Commission (ASIC). An immigrant wishing to set up business has to furnish the business plans along with the business visa as mentioned in the Migration Act and the guidelines of the respective state governments where the business is to be established. The business proposal as mentioned should contain the following:
Possible location of the business, finance arrangements, management structure, job descriptions
Business structures in Australia
Australia provides several business structures and these include sole trader, company, partnership, trusts, and joint ventures and fixed unit trusts. You can choose any of these options to establish a business in Australia.
The federal, state and territory governments administer the taxation legislation. Any business owner prior to establishing a new business must be aware of the government taxation regulations that are to be complied with. These include obtaining an Australian Business Number (ABN), Tax File Number (TFN), Goods and Services Tax (GST) and Fringe Benefits Tax (FBT). Besides these, small business owners must also pay the land tax as levied by the state and territory, the pay roll tax and other taxes and duties that are imposed.
Insurance is mandatory for all business owners in Australia and they have to insure their income, life and commercial risks. Business owners must also take the workers’ compensation insurance for all their employees and even the directors of the company.
Permits and licences
Certain kinds of business in Australia require permits or licences to operate. Details regarding the necessary permits and licences can be obtained from the local solicitor. Correct business permits and licences are very important when establishing a business in Australia.
Employment of staff
There are certain legal responsibilities attached when you employ staff for your small business. This pertains to a written job description that you must furnish to your employees prior to them starting work. You must ensure that the workers have understood the terms of condition and are aware of what is expected of them in the workplace.
Before you start up your business in Australia, be sure that you do your research into what is required of you as the business owner.
Working as business & finance analyst in Brisbane, Jim is very much interested in management consulting for finance projects. He writes about new challenges coming up in next year’s in the industry. Follow Jim on Twitter for more information at@JamesForrest8