9 Questions You Need to Answer Before Registering your Company: Company Registration Checklist

9 Questions You Need to Answer Before Registering your Company: Company Registration Checklist

Are you thinking about taking your business to new heights and want to legally protect it from the very beginning? 

One of the best ways to do this is by registering your business as a company. However, before you start this process, it’s important to ensure that you have all the necessary information and documentation. 

To help you out, we’ve created a company registration checklist that includes nine important questions that you need to answer. This checklist covers everything from choosing your company name, to your company’s share structure, and it also includes information about registration requirements for a director identification number (director ID)

By following this checklist and ensuring that you have all the necessary information and documentation, your company registration process will be smooth and successful. 

Let’s get started!

Table of Contents

9 Questions You Need to Ask Before Registering your Company

1. Are you a limited or unlimited company?

This means deciding the extent of each shareholder’s personal liability. Your company can choose a “limited by shares” structure in which each shareholder is only liable for the amount they paid for their shares. 

Alternatively, your company can be“unlimited with a share capital”, in which shareholders can be held liable for the debt of the company even if their shares have been fully paid.

2. Do you govern by replaceable rules or a constitution?

The Corporations Act 2001(Cth) provides a basic set of rules known as replaceable rules you can use for your company. Alternatively, you can choose to create a company constitution for your company that allows you to create custom rules or modify the rules contained in replaceable rules.  

3. What’s my company name?

Choosing your company name may sound like the fun part. However, there are certain rules governing your choice of name. Your company name must convey to the public its legal status, whether it is a public or proprietary company, and whether shareholders have limited or unlimited liability. 

You should be aware that if you have a proprietary limited company, its name has to include the words ‘proprietary’ and ‘limited’ or abbreviations of these words at the end of its name. For example, Pty Ltd, Proprietary Limited or Pty Limited.

You can use our tool in the first step of your company registration to see whether your chosen name is available. It’s important to note that your company can be identified by its Australian Company Number (ACN).

4. Which state or territory am I going to register my company in?

Although your company’s registration will be nationwide, you are still required to choose a specific state or territory for the registration of your company when you’re registering your company.

5. What are my registered office and business addresses?

Companies are required to disclose their registered office and business addresses. These may be the same address. However, if they’re not, both must be included. 

A registered office address refers to an address in Australia that can’t be a post office box address. Your registered office address is the location where all communication and correspondence with the company can be directed. 

A registered place of business is the location your company will mainly conduct its business, and this location can’t be a post office address.

6. Do I have an ultimate holding company?

An ultimate holding company refers to another company that holds the majority of your company’s shares. While most proprietary companies will not have an ultimate holding company, their ABN/ACN/ARBN and country of incorporation information will need to be disclosed if you do.

7. Who are my company officeholders?

Company officeholders refer to your directors and secretaries. Companies are required to have at least one director, but appointing one (or more) secretaries is optional. Once you have chosen these officeholders, your company will need to obtain their written consent and keep this on record.

You need to provide the following information about each officeholder of your company:

  • Residential address
  • Place of birth
  • Date of birth 
  • Given name 
  • Family name 

You should be aware that the directors of your company are legally required to have a director identification number( director ID). Furthermore, you should be aware that if you have a proprietary company you’re not required to have a company secretary. However, you’re able to have one or more if you choose to have a company secretary.

8. What’s my share structure?

Your company’s share structure refers to the class and number of shares the company has issued, as well as the amounts paid and unpaid on the shares. You should be aware that your company is required to issue at least one share to one shareholder. 

9. Who are my shareholders?

Shareholders or members are the owners of shares in the company who are legally obliged to pay the agreed amount for each share. You will need to obtain written consent as to the number of shares and the amount they agree to pay for them. After you have obtained this consent, create a register of shareholders.

This register should include this information:

  • Name of shareholder
  • Address
  • The date they were registered and
  • Specific details of their shares

If you’re ready for registration, you should check out our range of company registration packages for a cost-effective and efficient way to establish greater legal protection and take your business to new heights.

Need specialised advice regarding your company?

Contact a Lawpath consultant on 1800 529 728 to learn more about company registration, customising legal documents, obtaining a fixed-fee quote from our network of 600+ expert lawyers or to get answers to your legal questions.

What are the requirements for applying for a director ID?

According to the Australian Business Registry Services, you must meet the following requirements when registering for a director ID:

1: Setting up myGovID

  • Before you begin your application for a director ID, you will first need to obtain a myGOVID that meets the Standard identity strength requirement. To create a myGovID, you must install the myGovID app onto a smartphone from Apple’s App Store or Google Play.
  • To reach the standard identity strength requirement, you’ll be required to provide two of the following Australian identity documents:
  • Medicare card
  • Immicard
  • Citizenship certificate
  • Driver’s licence
  • Learner’s permit
  • A current passport or a passport that hasn’t been expired for longer than three years)
  • Birth certificate

If you’re unable to provide two of these documents, the ABRS outlines how to apply for a director ID if you’re unable to obtain a myGovID.

2: Gathering your documents 

After you set up your myGovID, you will be required to provide further personal information for your director ID. Only one of the following information must be provided if you have a myGovID with a Strong identity strength:

To obtain a strong identity strength, you must provide an Australian passport when setting up your myGovID, as this document increases your identity strength from just being standard to strong. 

Alternatively, you’ll be required to provide the following information if you have a myGovID with a Standard identity strength:

  • Your residential address that’s on file with the ATO
  • Your tax file number (TFN), it’s optional to provide this information. However, providing this information can help the process proceed more quickly
  • For the purpose of verifying your identity, you must also provide information from any of the following documents. The information must only be provided from two documents. Documents you can use to verify your identity include the following:
  • Details of your bank account that are on file with the ATO. This can include a bank account in which you have received a tax return or an account that has earned interest in the past two years
  • A payment summary from Centrelink
  • A PAYG payment summary 
  • A dividend statement
  • A notice of assessment provided by the ATO
  • Account details from your APRA super fund, Details can include your super fund’s Australian business number (ABN)

3: Submitting your application

The final step in the application process for obtaining a director ID is completing your application. To complete your application, you must sign in to the ABRS website with your myGovID.

Signing into the ABRS website will produce a 4-digit code that’s sent to your myGovID that you will have to enter on the website. The ABRS recommends that you complete your online application using Google Chrome or Firefox.

Frequently Asked Questions(FAQs)

What is a director identification number( director ID)?

Director identification numbers refer to a unique identifier number that all Australian directors are required to have. 

How to register a company with Lawpath?

To register a company with Lawpath, you’re only required to complete two simple steps:

  1. You must select a name for your company. However, before you choose a name for your company, you should check whether the name is available through Lawpath’s company name search tool.
  2. The second step you’re required to complete is providing details of your company through a simple online form that Lawpath submits to ASIC on your behalf. Lawpath will keep you updated throughout each step of the process.

How much does it cost to register a company in Australia?

The ASIC company registration fee you will be charged depends on the type of company that you’re registering. For example, if you’re registering an Australian company that has share capital, you will be charged $538. Whereas, if you’re registering an Australian company that doesn’t have a share capital, it will cost you $443.

What are ASIC’s registered office requirements?

In order to receive documents from ASIC, you will need to establish a registered office.

How can people find out that my company is registered?

People can find out whether your company is registered through ASIC’s company registration search.

How to register a company in Australia? 

There are several ways to register a company in Australia. You can register your company with Lawpath. Furthermore, online company registration in Australia is also available through the Australian Government’s Business Registration Service company registration service

Conclusion 

In conclusion, registering your business as a company can help you grow your business and increase your legal protection. The company registration process can seem difficult and time-consuming, but if you use our company registration checklist, the process can be much easier.

If you’re still unsure about how to register your company or need assistance with applying for a Director ID, you should hire a lawyer. A lawyer can help guide you through the process and provide you with the necessary legal assistance to ensure that your company is registered correctly. 

Find the perfect lawyer to help your business today!

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