ELBizDocs Online Legal Solutions

New Company Creation ($1,100)

Including registration with ASIC and optional registration for a Tax File Number and/or GST

Are you operating as a sole trader?

Unless you are in a 'high risk industry' (read on!), being a sole trader is a great low-cost option when you first start out in business. But as your business grows, there are significant legal (and for many people, taxation) advantages to operating your business in a Company, preferably with a family Trust as the sole Shareholder.

From a legal perspective, if you continue to trade as a sole trader, you could be at risk of losing any assets owned in your name if you are sued or are unable to pay your bills. Creating and using a company to own and operate your business moves this potential liability to the company instead. Of course, if you are required to give personal guarantees (for example, pursuant to a lease or to a supplier), you may still have personal risk. We strongly recommend that you seek advice from our leading business lawyers before giving any personal guarantee or entering into any high-liability arrangement.

When is the right time to upgrade to a Company?

Creating a Company (and possibly a Trust) involves the upfront cost of this ELBizDocs product, as well as ongoing accounting costs. If your business is not yet making much money, it might not make financial sense to upgrade to a Company just yet. However, you should keep in mind that when you are ready to transfer the business to the new company, you will be required to pay stamp duty on the value of any business assets (including goodwill). As such, you don't want to wait until your business is worth thousands of dollars and you will; be lumped with a considerable stamp duty bill! The exact timing is usually a matter to be discussed with your accountant.

Are you ready to Create a New Company?

Before you proceed with ordering a new ELBizDocs Company, we strongly recommend that you first:

  1. consider whether you would also like to incorporate a Family Trust to be the sole Shareholder of your new Company (as per our recommendation) - if you do, then you need to complete our New Company + New Trust Creation Interview instead.
  2. speak to your accountant and financial advisor, to determine if a Company (and a Family Trust as Shareholder) is the right business entity for you, from a taxation perspective; and
  3. find out the ongoing accounting costs associated with the new entities.

What is included with this ELBizDoc?

If you purchase this New Company Creation ELBizDoc, you will receive:

  1. a brand new Company (with your choice of name) registered with the Australian Securities Investments Commission (ASIC);
  2. a standard Company Constitution;
  3. a company folder in which to keep all of your important Company documents, along with the Certificate of Incorporation and copies of the Constitution etc.;
  4. registration of the Company for GST (if you select this option); and
  5. registration of the Company for a Tax File Number (if you select this option).

Do not buy this ELBizDoc if...

Contact us first before purchasing this ELBizDoc if any of the following apply:

  1. you want to create a not-for-profit Company or charity;
  2. none of the proposed Directors reside in Australia; or
  3. the majority of your trade is with customers overseas.

I'm ready, let's do this!

This Interview will take approximately 15 - 20 minutes to complete.

Before starting, you will need to have handy:

  1. the name, address, date of birth, place of birth and Tax File Number (optional - only required if registering for GST and/or a Tax File Number) for each person who will be a Shareholder or Director;
  2. the name, address and ABN of any Trust, Partnership or Company that will be a Shareholder of the new Company; and
  3. other basic contact information.

By hitting 'Start' on this Interview, you acknowledge and agree:

  1. that we (Enterprise Legal (Qld) Trading Pty Ltd ACN 621 481 507 trading as Enterprise Legal Qld ABN 75 621 481 507) are providing you with legal services and the terms of our ELBizDocs Costs Agreement apply to the provision of these services;
  2. we are not providing you with accounting and taxation advice in relation to these services and we strongly recommend that you seek advice from an appropriate professional(s) in this regard;
  3. we are not providing you with legal advice in relation to these services or any other services, apart from:
    (a) the generic advice that is provided on this page and throughout your Interview; and
    (b) the specific advice provided to you by a member of our EL Team, once you have completed your order;
  4. any advice regarding the transfer of an existing business to the new Company is specifically excluded - please contact our office should you need advice in this regard and we will provide you with a fee quotation to assist;
  5. we will use all reasonable endeavours to create the new Company within three Business Days (starting on the day after we receive your order, if it is placed after 12pm), but will not be liable to you if we are unable to meet this timeframe; and
  6. once your order is placed, you are unable to cancel it (this however, does not exclude any rights that you may have pursuant to the Legal Profession Act 2007 (Qld)).