Answers to 43 frequently asked questions about registering and operating a business in Australia — covering company structures, costs ($611 ASIC registration), ABN/GST requirements, foreign company rules, resident directors, and ongoing compliance obligations.
Business Registration in Australia: Frequently Asked Questions (2026)
Answers to the most common questions about registering a business in Australia — whether you are a local entrepreneur or a foreign company expanding into the Australian market.
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Registering a business in Australia involves understanding different structures, government fees, compliance requirements, and ongoing obligations. Whether you are asking “can a foreigner register a business in Australia?” or want to know the difference between an ABN and ACN, this page provides clear, accurate answers based on current 2026 regulations.
For a full step-by-step walkthrough, see our complete guide to registering a business in Australia.
Getting Started with Business Registration
Can anyone register a business in Australia?
Yes, both Australian residents and foreign nationals can register a business in Australia. Australian citizens and permanent residents can register as sole traders, partnerships, or companies with minimal requirements. Foreign nationals can also register businesses, though additional rules apply — for example, an Australian Pty Ltd company must have at least one director who ordinarily resides in Australia, and foreign company branches require an Australian-resident local agent. Some foreign investments may also need Foreign Investment Review Board (FIRB) approval depending on the value and sector. There are no citizenship requirements for obtaining an ABN.
Can a foreigner register a business in Australia?
Absolutely. Foreign nationals and overseas companies can register businesses in Australia through several pathways. You can incorporate an Australian subsidiary (Pty Ltd), register a branch of your existing foreign company, or obtain an ABN as a sole trader. However, a Pty Ltd must have at least one Australian-resident director, and a foreign company branch must appoint a local agent who resides in Australia. If you do not have someone based in Australia, professional services such as a resident director or local agent can fulfil these requirements on your behalf.
Do I need an Australian visa to register a business?
No, you do not need an Australian visa to register a business or company in Australia. Company registration, ABN applications, and ASIC lodgements can all be completed without a visa or physical presence in Australia. However, if you intend to work in Australia personally — such as managing day-to-day operations on the ground — you will need an appropriate visa (e.g., a Business Innovation visa subclass 188 or an Employer Nomination visa). Registration of the business entity itself is entirely separate from immigration requirements.
What is the first step to register a business in Australia?
The first step is to choose your business structure — sole trader, partnership, company (Pty Ltd), trust, or branch of a foreign company. This decision affects your tax obligations, personal liability, and regulatory requirements. Once you have chosen a structure, the next practical step is to apply for an Australian Business Number (ABN), which is free and can be done online. For companies, you will also need to register with ASIC. For a step-by-step walkthrough, see our complete guide to registering a business in Australia.
Can I register a business in Australia online?
Yes, most Australian business registrations can be completed entirely online. ABNs are registered through the Australian Business Register website. Business names and companies are registered through ASIC Connect. GST and PAYG registrations are handled via ATO online services. Director IDs are obtained through the Australian Business Registry Services portal. For foreign company branch registrations, much of the process can be initiated online, though certified physical documents from the home country may need to be posted to ASIC.
How long does it take to register a business in Australia?
Timeframes depend on the type of registration. An ABN is often issued instantly for Australian residents and within a few business days for foreign applicants. Business name registration typically takes one business day. Company (Pty Ltd) registration with ASIC takes 1 to 3 business days. Foreign company branch registration (ASIC Form 402) takes 2 to 4 weeks, as ASIC must review certified constitutional documents from the home jurisdiction. GST and PAYG registrations are usually processed within a few days. For faster processing, our team can handle your registration end-to-end.
Do I need to be physically present in Australia to register a company?
No, you do not need to be physically present in Australia to register a company. Both Pty Ltd incorporations and foreign company branch registrations can be completed remotely. Documents can be signed electronically or posted, and applications are lodged with ASIC online or via registered agents. However, your company must still meet local requirements — a Pty Ltd needs at least one Australian-resident director, and a branch needs a local agent. AusBusinessRegister regularly assists overseas clients with remote company formation, providing resident directors and registered office addresses as needed.
Business Structures in Australia
What are the different types of business structures in Australia?
Australia has five main business structures: (1) Sole trader — the simplest structure with no ASIC registration needed, but unlimited personal liability. (2) Partnership — two or more people sharing profits and liabilities. (3) Company (Pty Ltd) — a separate legal entity offering limited liability; the most popular structure for growth businesses. (4) Trust — assets held by a trustee for beneficiaries; commonly used for tax planning and asset protection. (5) Branch of a foreign company — allows an overseas company to operate directly in Australia under its own name. Each structure has different implications for tax, liability, and compliance. For a detailed comparison, see our business registration guide.
What is the cheapest business structure in Australia?
The cheapest business structure is a sole trader. There is no ASIC registration fee — you simply apply for a free ABN and, if trading under a name other than your own, register a business name for $44 per year (or $102 for three years). A partnership has similar costs. By contrast, registering a Pty Ltd company costs $611 in ASIC fees plus $329 per year for the annual review. While the sole trader structure is the cheapest to set up, it offers no limited liability protection, so it may not be the best choice for businesses with significant risk exposure.
What is the difference between a sole trader and a Pty Ltd?
A sole trader operates a business in their own name and is personally liable for all debts and obligations — meaning personal assets (home, savings) are at risk. A Pty Ltd (proprietary limited company) is a separate legal entity that provides limited liability protection; shareholders are generally only liable up to the amount of their unpaid shares. Sole traders are taxed at individual rates (up to 45%), while companies pay a flat 25% (base rate entities) or 30%. A Pty Ltd has more compliance obligations (annual ASIC fees, financial reporting), but offers greater credibility, easier access to capital, and better asset protection.
Should a foreign company register a branch or subsidiary in Australia?
It depends on your commercial objectives. A branch (registered foreign company) is an extension of the parent — simpler to set up for project-based work and may offer tax treaty advantages, but the parent bears full legal liability. A subsidiary (Australian Pty Ltd) is a separate legal entity that shields the parent from Australian liabilities and presents a local identity. Subsidiaries are generally preferred for long-term operations, government contracts, and when limiting parent company exposure matters. AusBusinessRegister can advise on the best structure for your situation. See our branch establishment services and company formation services for more details.
What is the difference between an ABN, ACN, and ARBN?
These are three distinct identification numbers used in Australian business. An ABN (Australian Business Number) is an 11-digit number issued by the ATO, used for tax and business dealings — all business entities need one. An ACN (Australian Company Number) is a 9-digit number issued by ASIC when you register an Australian company (Pty Ltd or Ltd). An ARBN (Australian Registered Body Number) is a 9-digit number issued by ASIC when a foreign company registers to carry on business in Australia. In short: every business needs an ABN, Australian companies also get an ACN, and registered foreign companies get an ARBN.
Can a foreign company operate in Australia without registering?
Generally, no. Under Part 5B.2 of the Corporations Act 2001, a foreign company that carries on business in Australia must register with ASIC. Operating without registration is an offence that can result in fines exceeding $22,000 for the company and personal penalties for its officers. Limited exceptions exist — for example, a foreign company may not need to register if it is only fulfilling a single contract or participating in a joint venture without establishing a place of business. However, the definition of “carrying on business” is broad, so professional advice is recommended.
Costs & Fees for Business Registration
How much does it cost to register a business in Australia?
Costs vary by structure. Registering an ABN is free. A business name costs $44 for one year or $102 for three years. Registering a company (Pty Ltd) with ASIC costs $611. Registering a foreign company branch costs $531 in ASIC fees, plus professional service fees typically ranging from $3,500 to $5,000 for document preparation and lodgement. Trust establishment costs $500 to $1,500 including the trust deed. All companies pay an annual ASIC review fee of $329. For a full cost breakdown, see our guide to business registration costs in 2026.
How much does it cost to register a company (Pty Ltd) in Australia?
The ASIC fee to register a proprietary limited company (Pty Ltd) in Australia is $611. This is a one-off government fee that covers the issuance of your Australian Company Number (ACN) and certificate of registration. If you engage a professional to handle the incorporation — including preparing the company constitution, shareholder agreements, and lodging the application — expect to pay an additional $500 to $1,500 in professional fees. After registration, there is an annual ASIC review fee of $329 to maintain your company registration.
How much does it cost to register a foreign company in Australia?
The ASIC fee to register a foreign company (ARFC) in Australia is $597. However, the total cost is higher because foreign company registration requires certified translations of constitutional documents, apostilled certificates from the home jurisdiction, and appointment of a local agent. AusBusinessRegister offers branch registration from From $1,500 (+ government fees), which includes ASIC Form 402 lodgement, document preparation, and compliance guidance. Ongoing costs include the $329 ASIC annual review fee, local agent fees (from From $1,900/yr (setup included)), and registered office fees (from From $500/yr (Sydney CBD)). See our pricing page for a full breakdown, or contact us for a tailored quote.
Are there ongoing costs after registration?
Yes, all registered companies and foreign company branches have ongoing costs. The ASIC annual review fee is $329 per year for proprietary companies (or $1,492 for registered foreign companies). Business name renewals cost $44 per year or $102 for three years. If you are a foreign company, you will also need to budget for local agent services (from From $1,900/yr (setup included)) or resident director services (from From $6,000/yr + GST), registered office fees (from From $500/yr (Sydney CBD)), and annual financial statement lodgement. All businesses should factor in accounting and tax compliance costs, BAS preparation (if GST-registered), payroll processing (if employing staff), and workers’ compensation insurance premiums. See our pricing page for current service rates.
What are ASIC annual review fees?
ASIC charges an annual review fee to maintain your company or foreign company registration. For 2025–26, the fee is $329 for proprietary companies (Pty Ltd) and $1,492 for registered foreign companies. ASIC issues a review notice around the anniversary of your registration, and you have two months to pay. Failure to pay the annual review fee can result in late fees and, ultimately, deregistration of your company. If you hold a registered business name, that has a separate renewal fee ($44/year or $102 for three years). Our ASIC compliance services (from From $720/yr) include monitoring and managing these deadlines on your behalf.
Can I register an ABN for free?
Yes, applying for an Australian Business Number (ABN) is completely free when done through the official Australian Business Register website (abr.gov.au). There is no government fee. Australian residents often receive their ABN instantly upon applying online. Foreign applicants may experience a processing time of several business days while the ATO verifies supporting documentation. Be cautious of third-party websites that charge fees to lodge ABN applications on your behalf — this is a free service directly from the government. If you need help with the application as a foreign company, our ABN registration service handles it as part of your setup.
How much does a resident director cost in Australia?
Professional resident director services in Australia typically cost between $3,000 and $10,000 per year, depending on the provider and level of involvement. AusBusinessRegister offers resident director services from From $6,000/yr + GST. This includes a qualified Australian resident who fulfils the Corporations Act requirement for at least one ordinarily resident director, ASIC appointment and compliance, and annual director obligations. Pricing may vary based on your industry and requirements. See our pricing page for current rates.
How much does a local agent cost in Australia?
Local agent services for foreign companies in Australia typically range from $1,500 to $5,000 per year. AusBusinessRegister offers local agent services from From $1,900/yr (setup included). This covers your ASIC-registered local agent, regulatory liaison, company change lodgements, statutory register maintenance, and dissolution assistance. The local agent is a mandatory appointment for any foreign company registered with ASIC. See our pricing page for full details.
What is the total cost for a foreign company to enter the Australian market?
The total first-year cost for a foreign company entering Australia depends on your structure and services needed. A typical branch setup including registration, local agent, registered office, and ABN/GST registration starts from From $3,900/yr with our Market Entry Package — saving approximately 10% versus purchasing services individually. If you also need a resident director and ASIC compliance management, our Full Compliance Package starts from From $8,500/yr (most popular). Government fees (ASIC registration $597, annual review from $329) are additional. All our professional service fees are GST-free for foreign companies.
Are professional services GST-free for foreign companies?
Yes. Under Australian GST law, services provided to foreign companies that are consumed outside Australia are classified as exported services and are GST-free. This means our professional service fees — including resident director, local agent, company registration, compliance, and advisory services — do not attract the 10% GST that Australian domestic clients pay. The prices listed on our pricing page are what you pay. Government fees (ASIC, ATO) are also GST-free. This effectively makes Australia more cost-competitive for foreign companies compared to pricing that includes GST.
Requirements & Compliance
What is a resident director and do I need one?
A resident director is a director of an Australian company who ordinarily resides in Australia — as defined by ASIC, meaning they must ordinarily reside in Australia. Under the Corporations Act 2001, every Australian proprietary company (Pty Ltd) must have at least one resident director. This is a legal requirement that cannot be waived. If you are a foreign company setting up an Australian subsidiary and do not have anyone based in Australia, you can appoint a professional resident director. AusBusinessRegister provides experienced resident directors from From $6,000/yr + GST who meet all ASIC requirements.
What is a local agent for a foreign company?
A local agent is an Australian-resident individual or company appointed under Section 601CF of the Corporations Act 2001 to represent a registered foreign company (ARFC) in Australia. Every foreign company registered with ASIC must appoint and maintain a local agent at all times. The local agent is responsible for receiving legal documents, ensuring ASIC compliance, and can be held personally liable for certain contraventions. Professional local agent services provide the expertise and compliance systems needed to fulfil this critical role. AusBusinessRegister offers local agent services from From $1,900/yr (setup included).
Do I need to register for GST?
GST registration is mandatory once your annual business turnover reaches $75,000 ($150,000 for non-profit organisations). If your turnover is below the threshold, registration is voluntary but may be beneficial if you want to claim GST credits on business purchases. Taxi and ride-sharing drivers must register regardless of turnover. Once registered, you must charge 10% GST on taxable goods and services, lodge Business Activity Statements (BAS) — usually quarterly — and remit GST to the ATO. Our ABN and GST registration service can handle the entire process for you.
What is a Director Identification Number (Director ID)?
A Director Identification Number (Director ID) is a unique 15-digit identifier that every director of an Australian company or registered foreign company must obtain. Introduced in 2022 to combat illegal phoenixing, the Director ID is a one-time, lifetime obligation — once issued, it follows you across all directorships. Australian residents apply online via myGovID, while foreign-based directors submit a paper application. There is no fee to apply. Failing to obtain a Director ID when required can result in civil penalties of up to $13,200, and providing false identity information carries criminal penalties.
What documents do foreign companies need to register in Australia?
Foreign companies registering with ASIC must provide: (1) a certified copy of the certificate of incorporation or registration from the home country, (2) a certified copy of the company’s constitution or charter, (3) a memorandum stating the company’s registered office address in Australia, (4) details and consent of the local agent, (5) a list of directors and company secretary, and (6) ASIC Form 402 (Registration of a Foreign Company). All foreign-language documents must be accompanied by certified English translations. Documents must typically be notarised or apostilled depending on the home country’s conventions. Contact us for a tailored document checklist.
What happens if I don’t register my business with ASIC?
The consequences depend on your situation. If you are carrying on business under a name that requires registration, ASIC can issue infringement notices and fines. If you are a foreign company operating in Australia without registering, you face penalties exceeding $22,000 and your officers may be personally liable. Unregistered companies cannot enforce contracts in Australian courts and may face difficulties opening bank accounts, entering leases, or tendering for government work. Additionally, directors who fail to ensure proper registration may face personal penalties and disqualification orders. Registering correctly from the outset avoids these risks entirely.
Practical Questions
Can I run an Australian business from overseas?
Yes, it is possible to run an Australian business from overseas. Many foreign companies operate Australian subsidiaries or branches while their principals remain based abroad. However, you must still meet all Australian legal requirements: a Pty Ltd must have at least one Australian-resident director, a foreign company branch must have a local agent, and all entities need a registered office address in Australia. You must also comply with tax obligations, ASIC reporting, and any industry-specific regulations. AusBusinessRegister provides resident directors, local agents, and registered office addresses to make this possible.
Do I need an Australian bank account to register a business?
No, you do not need an Australian bank account to register a business, company, or ABN. Registration is done through ASIC and the ATO, which do not require bank account details at the application stage. However, once your business is operational, having an Australian bank account is practically essential for receiving payments, paying employees, remitting GST, and managing day-to-day finances. Opening a bank account as a foreign company can be complex due to anti-money laundering (AML) verification requirements. Our banking support services help international businesses navigate the account opening process with Australian banks.
What is the difference between registering a business name and a company?
A business name is simply a trading name registered with ASIC — it costs $44 per year and does not create a separate legal entity or provide limited liability protection. Anyone (sole traders, partnerships, trusts, or companies) can register a business name. A company (Pty Ltd) is a separate legal entity registered with ASIC for $611, providing limited liability so shareholders are generally not personally liable for business debts. A company receives an Australian Company Number (ACN) and can also register one or more business names if it wants to trade under a different name. Registering a business name alone does not give you the legal protections of a company.
How do I get an ABN as a foreign company?
Foreign companies can apply for an ABN through the Australian Business Register (abr.gov.au). You will need to provide your foreign company registration details, evidence that you are carrying on (or intend to carry on) a business in Australia, the identity details of an authorised contact in Australia, and your Tax File Number (if already issued). Processing typically takes several business days rather than being instant. Foreign applicants are often asked for additional supporting documentation by the ATO. Our ABN registration service streamlines this process, ensuring your application is lodged correctly the first time.
Can I register for GST voluntarily?
Yes, you can register for GST voluntarily even if your annual turnover is below the $75,000 mandatory threshold. Voluntary registration allows you to claim input tax credits (GST credits) on business purchases, which can be beneficial if your business has significant upfront expenses. However, once registered, you must charge 10% GST on all taxable sales, lodge Business Activity Statements (BAS), and comply with all GST record-keeping requirements. If your customers are predominantly other GST-registered businesses (B2B), voluntary registration has minimal downside. If you sell mainly to consumers, charging GST may make your prices less competitive.
Where can I get help with business registration in Australia?
AusBusinessRegister specialises in helping foreign companies register and operate businesses in Australia. With over 40 years of experience as registered ASIC agents, we provide end-to-end support including company formation, branch registration, ABN and GST registration, resident director and local agent appointments, registered office addresses, and ongoing ASIC compliance. We have helped hundreds of international businesses successfully establish their Australian operations. Contact us for a free consultation or call +61 2 8599 9890 to discuss your requirements.
Quick Reference: Business Registration Costs (2026)
| Registration | ASIC/Government Fee | Frequency |
|---|---|---|
| ABN | Free | One-off |
| Business Name | $44 (1 year) / $102 (3 years) | Renewable |
| Company (Pty Ltd) | $597 | One-off |
| Foreign Company (ARFC) | $597 | One-off |
| ASIC Annual Review (Pty Ltd) | $329 | Annual |
| ASIC Annual Review (Foreign Co) | $1,492 | Annual |
| GST Registration | Free | One-off |
| Director ID | Free | One-off (lifetime) |
| Company Deregistration | $49 | One-off |
Still Have Questions? We Are Here to Help.
AusBusinessRegister has over 40 years of experience helping foreign companies establish and maintain businesses in Australia. From choosing the right structure to ongoing ASIC compliance, our team handles every detail so you can focus on growing your business.
Our services include:
- Company formation and branch registration
- ABN and GST registration
- Resident director and local agent appointments
- Registered office addresses and mail handling
- Ongoing ASIC compliance and corporate secretarial support
Or call us directly: +61 2 8599 9890