What Registrations Do I Actually Need When Starting a Business?

Starting a business in Australia is exciting—but before you begin trading, you need to make sure your registrations are set up correctly. Many new business owners feel confused about what’s legally required and what’s optional. The right registrations depend on your structure, turnover, and industry.

Here’s a clear, practical guide to help you understand what you actually need when launching your business.

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1. Australian Business Number (ABN)

The first and most essential registration is your ABN.

You need an ABN if you:

• Start a business or side hustle

• Invoice clients

• Register a business name

• Want to avoid PAYG tax being withheld from payments

Without an ABN, other businesses may be required to withhold tax from payments they make to you. An experienced Tax Accountant can help ensure your ABN application matches your chosen structure.

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2. Business Name Registration

If you’re trading under a name that isn’t your personal legal name, you must register it with ASIC.

For example:

• If John Smith trades as “Smith Consulting,” no registration is required.

• If he trades as “Perth Business Advisors,” that name must be registered.

Keep in mind: registering a business name does not protect it as a trademark.

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3. Tax File Number (TFN)

Every business structure needs a TFN:

• Sole traders use their personal TFN.

• Companies, trusts, and partnerships need a separate TFN.

If you’re unsure about structure (sole trader vs company vs trust), speaking to a Sole Trader Tax Accountant or experienced advisor early can save future tax complications.

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4. GST Registration

You must register for Goods and Services Tax (GST) if your turnover is expected to reach $75,000 or more per year.

Once registered, you’ll need to:

• Charge 10% GST on taxable sales

• Lodge Business Activity Statements (BAS)

• Report GST collected and paid

A BAS Accountant can help manage GST reporting and ensure your lodgements are accurate and on time. Even if your turnover is below the threshold, voluntary GST registration may be beneficial in some cases.

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5. PAYG Withholding Registration

If you plan to hire employees, you must register for Pay As You Go (PAYG) withholding.

This allows you to:

• Withhold tax from employee wages

• Report payroll information

• Meet Single Touch Payroll (STP) obligations

Payroll compliance is an area where Small Business Tax Accountants can provide valuable guidance.

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6. Superannuation Obligations

If you employ staff, you must:

• Pay compulsory super contributions

• Use a compliant super fund system

• Meet payment deadlines

Failing to meet super obligations can lead to penalties, so getting professional advice early is essential.

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7. Company Registration (If Applicable)

If you decide to operate as a company rather than a sole trader, you must register the company and obtain an ACN. This creates a separate legal entity and provides limited liability protection.

However, companies have additional reporting and compliance responsibilities. Before registering, it’s wise to consult a Tax Accountant to assess whether a company structure is right for your goals.

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8. Industry-Specific Licences and Permits

Depending on your business type, you may need:

• Trade licences

• Council permits

• Health department approvals

• Professional certifications

These vary by state and industry. Builders, food businesses, and financial service providers often have stricter licensing requirements.

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9. SMSF Registration (If Relevant)

If part of your business or financial planning strategy includes managing your own super through a Self-Managed Super Fund, you’ll need to establish and register it correctly. An experienced SMSF Accountant can guide you through trustee setup, compliance obligations, and annual reporting requirements.

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10. Choosing the Right Structure First

One of the biggest mistakes new business owners make is registering everything before choosing the right structure. Your structure affects:

• Tax rates

• Asset protection

• Reporting obligations

• Long-term growth strategy

A sole trader setup is simpler and cheaper, but may not offer asset protection. Companies and trusts offer more flexibility but involve more compliance.

Getting advice from a Personal Tax Accountant or trusted advisor before registering can prevent costly restructuring later.

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Common Mistakes to Avoid

• Registering for GST too early (or too late)

• Choosing the wrong structure without advice

• Ignoring PAYG obligations when hiring staff

• Missing BAS lodgement deadlines

• Mixing personal and business finances

Professional guidance ensures you only register for what you actually need—nothing more, nothing less.

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Final Thoughts

Starting a business involves more than just launching your product or service. Proper registrations form the legal and financial foundation of your business.

At a minimum, most new businesses will need:

• ABN

• Business name registration (if trading under a different name)

• TFN

• GST registration (if turnover exceeds $75,000)

• PAYG registration (if hiring staff)

Every situation is different. Working with experienced Small Business Tax Accountants ensures your registrations align with your goals, keep you compliant, and set you up for long-term success.

If you're unsure where to begin, speaking with a Sole Trader Tax Accountant can give you clarity and confidence before you officially start trading.