Can I register a company with the same name as my Business Name?

A Company and Business Name are entirely separate entities.

When registering a company, it is possible to have your proposed company name be the same as your registered business name.

We at Company 123 can show you how it can be done when registering through our website.

What is the difference between a company and a business name?

What is a company?

Companies are legal entities separate from its owner that can be registered with ASIC.

Every company must have members or shareholders, minimum of at least one member, who are the owners of the company and directors and secretaries who are the officers that manage the company.

As companies are given the same rights as a natural person, they can incur debt, sue or be sued for legal reasons.

There are various types of companies in Australia.

The most common types of companies in Australia are:

• 'Proprietary Limited' companies (Cannot raise money from the public through share issues).
• 'Public' Companies (Usually formed to raise or borrow public money by listing the company's shares for trading on a stock exchange).

All companies are governed by the Australian Securities and Investments Commission (ASIC), which administers the Corporations Act 2001 (Commonwealth) and other legislation. Public companies must also comply with the rules of the Australian Stock Exchange.

Advantages and disadvantages of registering a company

Advantages: 

• Shareholders have limited liability – meaning they are seen as separate entities to the company
• Companies can trade anywhere in Australia
• Lower tax rate

Disadvantages: 

• Reporting requirements can be quite complex
• Directors are held personally liable for the company’s profits and debts if they fail to meet legal obligations
• Your companies’ finances are public and can be viewed by the public

Roles within a Company

As mentioned above, a company is made up of directors, secretaries, and shareholders.

To fill in these roles, you must get written consent from the people that will fill these roles:

• Director (must be over 18)
• Secretary (must be over 18)
• Member (every company must have at least one member).

What are your obligations as an officeholder?

If you're a director or a secretary of a company, you must follow the requirements in the Corporations Act.

As an officeholder, you must follow your legal obligations, these are:

• Ensuring company details are kept up to date
• Maintaining company records and details on the register
• Paying the appropriate lodgement fees and annual review fees as required

You, as an officeholder are ultimately responsible for your company's adherence to the Corporations Act.

A company can be formed with only one person, as a proprietary company limited by shares, the director and the shareholder or member can be the same person.

Other roles within a company

Along with the director, secretary and shareholders, a company also has a public officer.

What is a Public Officer?

The Public Officer of a company is the person who deals with the Tax Office in relation to the company's taxation affairs such as record keeping and submitting company returns.

Under Australian taxation law, every company carrying on business or earning income from property in Australia must have a public officer – unless the company is specifically exempted.

The company decides who acts as public officer in accordance with its Constitution.

The company must appoint a public officer within 3 months of the company:

• Commencing to carry on business; or
• First earning income in Australia.

If a company fails to appoint a public officer within the 3 month period, it is guilty of an offence for each day it does not have a public officer.

The public officer must be at least 18 and must live in Australia. They must also be capable of understanding the nature of their appointment.

The public officer deals with the Australian Taxation Office (ATO) in relation to the company's tax affairs and is responsible for ensuring that the company pays the correct amount of tax.

If a company is in default, then the public officer is liable to pay any penalties.

However, the public officer is not personally liable for payment of tax due by the company with the exception of certain liabilities such as superannuation payments due by a company and when it is not paid, Directors may be personally liable for unpaid superannuation of the company.

Additionally certain Pay as You Go (PAYG) Withholding obligations in relation to tax withheld on employees’ wages, directors may be personally liable if the company does not remit the liability to the Australian Taxation Office in timely and due manner.

Apart from these liabilities all other debts of the company generally stay with the company unless the directors personally guarantee obligations to pay the debt for the company.

What costs are involved in the registration of a company?

The total fee to register a company with Company 123 is $598 which includes all government fees, our service fee and GST. The ASIC registration fee is $538 and our service fee, inclusive of GST, is just $55.

ASIC also charges an annual fee on the anniversary date of registration.

We also offer extra optional services, which includes:

• For an extra $50, Company123 as registered tax agents will apply for ABN, TFN and GST for your company.
• For an optional $55 extra Company123 will also print, bind and deliver your documentation.

What name should I use for my company registration?

When it comes to name your company, a company name is not compulsory.

Instead of choosing a name, the name of your company can be its Australian Company Number (ACN), which is the unique number automatically given to a company by ASIC when it’s registered.

Company names cannot be identical to an existing name.

How is this done through Company123's online form?

When filling in the online form, you will come across a question asking, whether you have a proposed company name.

Choosing "No" to the question, will remove the option to name your company and allow you to use your ACN as your company name.

What is an ACN used for?

If your business is a company, then you'll need an ACN. By law, an ACN must be shown on several documents, including:

• Accounting statements, such as invoice any documents you lodge with ASIC
• Receipts (if they're not machine generated, e.g. from a cash register)
• Orders for products and services
• Business letterheads
• Official company notices
• Cheque, or any documents that represent a legal amount of payment
• Written ads making a specific offer that can be accepted (such as by completing an order form)

If your company also registers for an ABN, then your ACN will form part of your ABN. In these cases, you won't need to display your ACN if your documents already display your ABN and company name.

When should a company apply for an Australian Business Number (ABN)?

ABNs are not compulsory. However, there are many good reasons to have one, for example, ABNs help you:

• To deal with the ATO;
• In dealing with other businesses when supplying goods or services to them, or when purchasing goods and services.
• Confirm your business identity to others when ordering or invoicing
• Avoid Pay As You Go (PAYG) tax on payments you receive.
• Claim energy grants credits
• Obtain an Australian domain name

To obtain an ABN, your company must:

• Be able to demonstrate that the business structure is in place;
• Be carrying on an enterprise in Australia.
• While carrying on an enterprise, make supplies connected with the indirect tax zone or have undertaken sufficient activities to commence an enterprise; or
• Be a Corporations Act company.

To find an ABN:

If you want to look up information about a registered ABN, such as to check that your details are up to date or check the details of a supplier, you can do this on the ABN Lookup website.

ABN Lookup allows you to search publicly available information supplied by businesses when they register for an ABN.

Who can register an Australian company?

Anyone can, however you must have at least one director that resides in Australia and a physical Australian address for the registered office of the company. If none of the directors are eligible to work in Australia, you will be able to register a company, but you may not be able to trade.

What is an ultimate holding company?

A company that is an ultimate holding company of a wholly owned group if it has a subsidiary and the company is not a subsidiary of another company.

This means, the ultimate holding company owns or controls more than 50% of the shares in the subsidiary and can be referred to as the "controlling entity".

The key element is control. One company controls a second company if it has the capacity to determine the outcome of the decisions of the second company's financial and operating policies.

The ultimate holding company may have several subsidiaries.

During company registration in Australia, names can also be rejected for the following reasons

Contains certain words and phrases that cannot be used without the approval of a government minister

Fore example; these include bank, trust, Royal, Incorporated

The name is considered offensive or suggests illegal activity

What are the requirements for company registration in Australia? 

Step 1 - Fill in a company registration form at Company123
Step 2 - Receive all company documents within minutes, sign, and file
Step 3 - Receive ABN, TFN and GST registration (if necessary) and begin operations

What happens after your company is registered?

You need to make sure:

• The company's name is on display wherever the company conducts business and is open to the public
• The company's ACN/ABN is displayed on any documents the company publishes
• The company's details are kept up to date

Post Company Registration: Company Amendments

According to the legal obligations and responsibilities under the Corporations Act, if there are any changes in the company, it’s important that you inform ASIC within 28 days.

To inform ASIC of the changes, Company123 can file on your behalf form 484 simply known as “Changes to your company details” for your company as registered ASIC agent #34511.

Common types of company changes you need to notify ASIC of:

• Change of Address

- Register Address

- Principal place of business activity

- Officeholder’s address

- Shareholder’s address

• Appoint or Cease officeholders
• Appoint or Cease shareholders
• Change of name for officeholders or members
• Change share structure
• Share Transfer

Other types of activities post registration phase:

De-Registration of a Company

If you no longer require to use a Pty Ltd company, Company123 can carry out official deregistration on your behalf.

De-registering a company means that you no longer have to continue your obligations as an officeholder and company ceases to exist.

It might be worthwhile to apply for voluntary deregistration where a company is no longer trading or carrying on a business.

In order to apply for a deregistration of a company with ASIC, the following requirements need to be fulfilled:

• All members of the company must agree to deregister
• The company is not conducting a business
• The company's assets are worth less than $1000
• The company has no outstanding liabilities (e.g. debts)
• The company is not involved in any legal proceedings
• The company has paid all fees and penalties payable to ASIC

As registered ASIC agent, Company123 can assist you in preparing all necessary ASIC form and other compliance documents to submit deregistration request to ASIC on the same business day.

The cost of the service is $299 + GST (which includes ASIC fee).

Simply click the following Link & complete a short form.

Take advantage of Company123 professional service and order de-registration service today for any of your unwanted companies and save on incurring ASIC annual review fees.

Company Reinstatement

If your company has been deregistered, Company123 can assist you with the company reinstatement.

Reinstatement will restore to the original status of a deregistered company with ASIC.

To apply for reinstatement of company ASIC, following needs to be fulfilled:

• Applicant must have been an officeholder or member of company
• Consent of the directors
• Pay any outstanding ASIC fee at the time of deregistration including penalties or annual review fee

Company Reinstatements are a lengthy process that can take up to 3 months to be processed by ASIC.

Company123 can carry out the reinstatement process. Simply click the following Link & complete a short form.

What is a Business Name?

A business name is simply a name under which you conduct a business.

You must register a business name in Australia, unless you trade under your own name, or fall within an exemption.

When do I need to register a business name?

Anyone can register a business name, if they want to operate and trade under a name which is different to the name of the legal entity.

How To Register a Business Name

As mentioned above, Company123 are ASIC agents who can provide a quick and simple business name registration through our easy online form.

You have the option for both 1 year and 3 year business name registration.

We are also happy to offer renewal of business name services, through a similarly easy online form.

What is the difference between a legal name and business name?

The legal name of an entity is the name that appears on all official documents and legal papers whereas a business name is mainly used to conduct a business.

For example, the legal name typically for private companies will have PTY LTD (or any variation of ‘proprietary limited’), whereas for registered sole traders their legal name is their full name that was registered with the ABN.

Is there a limit to how many business names I can have?

There are no limits to how many business names you can have. You can have multiple business names under a single Australian Business Number (ABN).

Having multiple business names can help customers and clients find, identify, and connect with your business.

Is an ABN a requirement for when I register a business name?

Yes, to run a business operation with a registered business name, you need to have an ABN.

Tips on choosing a good Business name

It is vital to choose something that will help customers easily identify and connect with your product or service.

Business Names can be changed as your business grows and changes. It is not uncommon for businesses to go through a process of ongoing change.

Here are a few tips to keep in mind when thinking of a business name:

• Have your target audience in mind
• Choose something that excites both you and your customers.
• Make sure it won’t get mistaken for another business name
• Have fun with it.

How do I check if a business name is available?

Now that you have chosen your business name, the next step is to see if it is available to be registered.
You can check the availability of a business name through ASIC as well as clicking the link to our website Company123 here.
When selecting a business name, there are three criteria for determining whether a business name is available under the Business Names Registration Act 2011 and the Business Names Registration (Availability of Names) Determination 2015.
These criteria are:

Words and expressions taken are the same as another business (schedule 1)

This includes:

• Services that are offered are similar
• Locations used are similar
• Goods that are offered are similar

Restricted word or expression (schedule 2) 

A word or expression mentioned in Schedule 2 is a restricted word or expression in relation to entities and businesses unless the Minister has given written consent to the use of the word or expression.

Undesirable names

A Business Name can be considered undesirable if it is considered by ASIC to be offensive to the general public or members of a section of the general public.

Also, if your business name suggests a connection with established companies or government agencies.

Can I change my business name?

You can’t update an already registered business name, even if you only want to make a slight change to it. If you want to trade under a different business name, you must register a new one. You can either cancel your existing business name (if you don’t want to use it anymore) or keep your existing business name (in case you want to use it later or for a different part of your business).

How to register a company, with the same name as your Business Name?

If you are the holder if an identical name, you may be able to register the name for the company in some cases:

• If you are an individual business name holder, you must be a proposed company director or member
• If the business name holder is a company, the same company must be a proposed member
• If the business name holder is a partnership or a joint venture, each of the partners must be a proposed company director or member
• If the business name holder is a trust, each of the trustees must be a proposed company director or member, and you must provide ASIC with a copy of the trust deed.

If you are registered business name owner, and you would like to register a company with the same name, here is how to you can get that company registered on Company 123’s online form:

Step 1: On the first page of the application, select ‘Yes’ to the question: “is your company name the same name as your business name?”.

Step 2: Once ‘Yes’ is selected, you are given to options: Insert your sole trader or individual ABN that has your business name registered to it OR select the amount of states you have your business name registered in; then, insert the registered business number and select the state(s).

Step 3: Continue and submit your application to become registered.

While in many instances, you cannot use similar names to already registered companies or business names.

However, if you are the owner of a registered business name, you can use register a company with the same name, by providing your individual ABN.

If you would like to begin the process of registering your business name, you can begin here or alternatively you can register a company here.