You can set yourself up for future success if you pick the right path from the start. That means you must make the best decision when considering the types of business structures an Australian business can register as. We want to help you make that choice. The RIGHT choice.
The short answer is ‘no’. There are multiple types of business structures to consider, each with its own pros and cons. Laws and regulations also determine which types of business structures you’ll be eligible to register for. So, it requires some time and research to determine the best possible option.
Why spend a lot of time trying to make sense of it all? Superior B+T can help!
Each type of business structure will have an effect on how important matters affect you and your company’s future:
Your business structure type determines which tax regulations apply to you. Make sure your business structure makes you eligible for those tax benefits you dream of.
The type of business will affect how your assets are protected. In some scenarios the owner will be responsible for the business including any debts. This personal liability is a risk factor best discussed with an expert if you don’t want to incur debt sue.
The process of registration for each company, and costs involved, will differ.
With each structure you have a different level of control over your business.
If your business ever changes ownership, the type of business will impact its continuity.
If you’re just starting out, we strongly advise you not to bypass the important process of considering all your business structure options.
What works for another company you admire may not work for you. If you commit to the same structure they use, you may not eventually like the legal obligations you signed up for. Or perhaps you realise you don’t want to be personally liable for all aspects of the business and even company debts. Rather give it a good consideration before you sign any papers, so you don’t have regrets in hindsight.
So, what are your options? In Australia, the four most common actions for business owners will be:
Here you will have complete control of the company and you even use your own tax number when doing the business tax returns.
You’ll share responsibilities with others, but you won’t have complete say in decision making. A benefit here is that it’s inexpensive to set up and manage.
When you start a company you establish a separate legal entity, apart from yourself. This can seem attractive since your own personal assets are often protected. Just know that there is limited liability still. For circumstances such as paying off the business’ debt, you and your partners may still need to take responsibility in your personal capacity.
This is a more expensive route to take, since you require a deed that explains the management of the trust. A trustee also has yearly responsibilities.
Picking the right one for you requires in depth discussions about your expectations, industry, business partners and more. Let’s talk details about how much personal liability you want to have and whether you want to bring your personal assets into the mix. All the details matter. We help you create a business that will give you peace of mind.
We’re here to discuss your options about the types of business structures you can consider. Let’s talk about your goals as a business owner as well as your personal circumstances that could influence your decision. Doing proper planning is a wise option before you even start a business.
We keep up to date with the latest regulations, so we can give you the best advice. Where necessary, we’ll do the research to give you feedback on what will be the best option for you, whether it’s about income tax, your potential partnership agreement or details about the corporations act.
Once you’ve made your decision, let’s help you with the paperwork. Our team of experts will ensure the documents are accurate, so there’s one less thing you have to stress about.
We’re all about long term benefits for your business. So, why not ask us about what we can do once you’ve registered your company or small business? From bookkeeping to tax services, we can assist, always making sure you benefit when tax time arrives and giving advice so your business grows.
The good news is that if you did make a mistake when originally picking your business structure, as a business owner you can now switch to a different type. Throughout the life cycle of your business you have the right to change.
Just remember that each change will have repercussions. We can help you pick the right one for where your business is now and assist in implementing the changes. From submitting a tax return correctly or ensuring you comply with the legal obligations of your new setup, we’re here for you.
Don’t set this matter aside and regret it later on. Let’s get together, look at your plans, discuss the numbers and help you make the best decision for your company. A business adviser on our team will help you pick business structures for your new brand or assist in changing it if you realise you’ve made a mistake.
With our range of services, we can also help you navigate through various business scenarios in the future.
You deserve to have the best possible chance of reaching your goals. Let’s help you.