To start a business in Australia, government regulations require that companies comply with a number of legalities: registering the company's name in the state or territory in which the business trades; and applying at the Australian Taxation Office for an Australian Business Number (ABN), a Tax File Number (TFN) and Pay As You Go (PAYG) withholdings (if you have employees).
But before dealing with all the legal and state technicalities, budding entrepreneurs must plan for their own success by creating solid business, marketing and exiting plans, detailing where they'd like to see their businesses headed in the next five to ten years. Part of this planning includes deciding a proper business structure. Popular Australian small business models include: sole traders, individuals who trade on their own; partnerships, an association that jointly receives income; trusts, an obligation imposed on a person to hold property or income for others; and companies, a complex business structure with its own tax liability and bank accounts.
By mapping out sales projections, operating costs and development strategies, entrepreneurs are able to attract investors, which is the next phase of starting a business - securing funding. Banks and other lenders offer a range of business loans including overdrafts, lines of credit and fully drawn advances. Private investors - business angels and venture capitalists are also a growing source of start-up capital for small Australian businesses. The Australian Investment Network connects business investors from around the globe looking to invest venture capital in promising companies.