Good to Great: How to Scale With an Outsourced CFO

Overwhelmed by the thought of starting a business in Australia? Don’t be. Although setting up your business in Australia requires attention to detail and perseverance, it’s certainly a manageable feat.

With a methodical plan and adherence to a timely schedule, you can set up your business in Australia with the following 10 steps.

 

How to Set Up Business in Australia

 

1. Register a Business Name

If you conduct your business under a name other than your own, you’ll need to register a business name. This can be done at the ASIC website. All you need are details about business ownership, addresses, eligibility, and declarations. You can make your payment online, and you should hear back within 10 days.

 

2. Analyse Markets

Once you’ve narrowed down your location search to a few advantageous areas, analyse each area by market attractiveness. Don’t forget to use tools like SWOT analysis and Porter’s Five Forces to evaluate the advantages and disadvantages of each area.

 

3. Choose Your Business Structure

The following business structures are suitable in Australia: Company, Branch, Trust, Partnership, and Joint Venture. Your business structure should be partially on your external environment, and when you move your business to a new place, you may need to make changes to your structure.

 

4. Choose Accounting and Reporting Software

The introduction of the GST has prompted many Australian businesses to convert to up-to-date accounting and reporting software. Programs that can handle the quarterly BAS will reduce the amount of time you have to spend on reporting, and you’ll find that there are many software programs available with this capability.

Weigh the pros and cons of available software and match your choice to the demands of your business, but make sure that whatever you choose adheres to Standard Business Reporting (SBR).

 

5. Setting Up for Taxes

As you set up your business in Australia, seek tax advice from a financial professional or from the Australian Taxation Office (ATO). Your tax requirements will vary based on the type of business you run and how much staff you have.

 

 

Payroll tax is imposed by each state and territory, not by the ATO, so you’ll need to check with your local jurisdiction as well. Failing to set up your taxes correctly can result in legal and financial penalties.

 

6. Create Goals for Growth

A new business needs concrete goals to work toward, and these goals should be firmly in place before you ever open your doors. Your goals might include sales targets, training benchmarks, and dates for expansion.

 

7. Get Funding

Most new business require start-up funds, and you’ll know exactly how much you need once you’ve created your budget and cashflow forecasts. Businesses raise their initial capital in a variety of ways, from seeking angel investors and business loans to bootstrapping until you can revenue fund.

 

8. Consider Your Supply Chain

In moving to your business to Australia, your current supply chain may experience disruptions. Analyse each element of your supply chain: producing, importing/exporting, franchising, licensing, government regulations, etc.

 

9. Hire New Staff

As you hire new staff for your Australian business, be aware that you’ll be required to collect taxes, superannuation funds, and manage other employer obligations. Additionally, learn about residency requirements and other compliance issues for employers.

 

10. Set Up Record Keeping

Australia is working toward business reporting standardisation. Standard Business Reporting (SBR) simplifies business reporting obligations and helps you to be more efficient regarding government compliance. At Altus, we can help you to set up a cloud-based system that follows SBR requirements.

 

Setting Up Business in Australia

With an eye on your target market and a business plan customised for your new location, you can successfully launch your business in Australia. If you have questions about how to set up a company in Australia, feel free to reach out to us at Altus Financial. We can help you with any step along the way or help you to put together a comprehensive plan for your Australian business launch.

For more information on setting up a business in Australia, download our free ‘Setting Up Business in Australia’ eGuide below: