Business structure in Australia has a number of different structures from sole traders to companies, partnerships and trusts.
Definition of a Sole Trader
“A sole trader is an individual running a business. It is the simplest and cheapest business structure. If you operate your business as a sole trader, you are the only owner and you control and manage the business.” – ATO.
Definition of a Company
“A company business structure is a separate legal entity, unlike a sole trader or a partnership structure. This means the company has the same rights as a natural person and can incur debt, sue and be sued.” – Business.gov.au
Each one has different structures.
As a sole trader there a few costs and setup obligations, whereas if you have a company it is totally different.
Without going into great detail of both structures, it comes down to making sure you all your paperwork is in order, that you have good record keeping, and know what your responsibilities are if you are a Sole Trader or a Company.
If you would like to have a 20-minute free scope call to discuss your needs and talk about how you should structure your business, then please make an appointment with me or call 0429 363 047.
Let me setup your company/business correct right from the start.
Maree Punzet | Maree’s Mobile Bookkeeping | 0429 363 047
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