Not sure if setting up a company is the right move for your biz? You’re definitely not the only one, and that’s exactly where we come in. At Propeller Advisory, we help business owners understand the ins and outs of a company business structure so they can move forward with confidence.
Feeling unsure about setting up a company? For heaps of service-based business owners, figuring out the right structure feels more confusing than it should, but getting it right early can save you headaches (and dollars) down the track. We’ll help you sort through the noise and make a call that actually fits your goals. Let’s have a quick chat and make it easier. Our friendly team’s here to simplify it all.
What Is a Company Business Structure?
In simple terms, a company is its own legal entity. It can own stuff, owe money, sign contracts, and even get sued, all without dragging your personal assets into the mix. In Australia, most companies are set up as proprietary limited (Pty Ltd), which means they’re owned by shareholders and managed by directors (that could be you). It’s a bit more complex than running as a sole trader or partnership. But the perks seriously stack up, especially once your business starts to grow.
Is a Company Structure Right For You?
Not every business needs a company setup. But if any of the following sound like you, it could be a smart move:
- You want to limit your personal liability
- You’re planning to grow or bring on investors
- You want more flexibility in how you pay yourself (like a mix of salary and dividends)
- You’re looking for a more tax-effective way to operate as profits increase
There’s also the bonus of looking more professional. Running under a company name can boost your credibility with clients, banks, and potential investors. Of course, it’s not all smooth sailing. Companies come with extra admin. You’ll need to register with ASIC, keep your records up to date, and meet your legal responsibilities as a director. The tax side’s different too, with company tax rates, super, GST, and maybe even payroll tax to think about.
That’s where we come in. We help you weigh up the costs, the compliance, and the control, so you’re not stuck at 10 pm trying to make sense of it all on Google.
Our Propeller Approach
We’re not here to give you cookie-cutter advice or drown you in jargon. At Propeller, we take the time to really get to know you… your goals, your appetite for risk, and how your business actually works day-to-day. Your business isn’t standard, so your structure shouldn’t be either.
We’ll walk you through the pros and cons of setting up a company, how it stacks up against other options like sole trader, partnership, or trust, and what’s actually involved behind the scenes, from registration to director responsibilities and tax obligations. If you’re already operating under another structure and thinking of making the switch, we can help you assess your current setup and manage the transition smoothly, without throwing your business into chaos.
Long-term Support You Can Count On
We’re not just here to help you tick the ‘set up a company’ box. We’re your long-term partner, helping you stay compliant, cashflow-smart, and confident every step of the way. Whether you’re just getting started or levelling up, we’ll make sure your structure keeps working for you as your business grows. No surprises. No guesswork. Just solid support from a team that actually gets your business.
Thinking About Setting Up a Company?
Still tossing up if a company is right for you? Let’s chat. We’ll make it simple, strategic, and tailored to your goals. We help service-based businesses build smarter, safer setups that support long-term growth. Contact us online, book a consultation, or call us on ☎ 1800 776 735.
FAQs About a Company Business Structure
1. What is a company business structure in Australia?
A company business structure in Australia refers to a legal entity registered with ASIC that is separate from its owners. It provides limited liability, distinct tax obligations, and greater flexibility for business growth and investment.
2. What are the benefits of choosing a company business structure?
You get limited personal liability, more flexibility in how you pay yourself, and it can be more tax-effective as you grow. It also looks more professional, which helps if you’re chasing funding or want to build trust with clients and investors.
3. Is a company business structure better than a sole trader?
It depends on where your business is heading. A company setup gives you more protection and room to scale, but it does come with extra admin. Sole trader structures are simpler and cheaper upfront, but you take on more personal risk.
4. How do I set up a company business structure?
Setting up a company involves registering with ASIC, choosing a company name, appointing directors and shareholders, and meeting all legal and tax requirements. At Propeller Advisory, we guide you through the entire setup process and help you stay compliant.
5. Can I switch to a company business structure later?
Absolutely. Lots of businesses start as sole traders or partnerships and make the move once things grow. We’ll help you figure out the best time to switch, handle the setup, and make sure nothing slips through the cracks.