Start Up Business

It’s an exciting journey seeing the transformation of an idea into a new business venture.

At Rubiix, we understand the necessary considerations one needs to take to allow the dream to unfold. We also realise there are mountains of available information and the time it takes to sift through it all. There are many websites with very useful information, many of which are government sites and include checklists for new start-up businesses, for example: business.gov.au, ato.gov.au.

We have pooled together some of the essential topics and useful links and created a handy check list for new start up businesses that include the following topics: Business Planning, Name Selection, Business Registrations, Financials, Legal and Insurance.

STARTING A NEW BUSINESS – HANDY CHECK LIST
List Detail Links / Ref
1. Business Plan
1.1 The Plan A business plan ensures you have already considered and accounted for many of the items in this list plus more (employees, marketing etc). Furthermore a business plan comes in handy when applying for government grants and the like.
You may also consider having a second summary version of your plan handy for when you apply (only offer the full business plan version after a non-disclosure agreement has been signed to protect your IP).
2. Name Selection
2.1  Select A Name Select A Name to Consider:

  1. The Structure:  whether it will be set up as a business (sole trader, partnership), company, or a trust.
  2. If your business will be relying on its website for sales, then creating the right business name, as well as domain name is critical for enabling people to find you online.
  3. Seeking assistance from a branding company who specialise in creating a name that delivers appropriate impact / recognition.
  4. Keeping it simple
2.2  Check Availability
  1. Business / Company names, ASIC
  2. Domain names
3. Business Registrations
3.1 ABN Before you register your business name you need an ABN (Australian Business Number).
3.2 Register Your Business’s Names:

  • Business /Company
  • Domain
  1. Register your business/company name off/online at ASIC
  2. There is a wide range of options for registration of your domain name(s)
3.3 Protection:For Your Name & Brand:Trademark ™ Registering a business, company or domain name does not give you any proprietary rights. Only a Trademark can provide that kind of protection.
3.4 GST & Pay As You Go If you expect to have GST turnover of $75 000 you need to register for GST.Pay As You Go: for the reporting and paying of:

  • Tax on business and investment income (PAYG instalments)
  • Amounts withheld from payments to employees and others (GST and PAYG withholding).
3.5 Registration Cost Guide Some of the associated registration costs include:

    • Business Name: The cost is $34 for a one-year registration or $80 for a three-year registration (as at September 2014).
    • Domain Name: from ~$22.98 – $100+ for 2 years
      (does not including web hosting)
    • Trademark:
      $120 – $370 application (depending on type)
      $120 registration per class

For further details and other costs, please consult your professional advisor. These prices are current as of 14/09/2016.

4. Financial
4.1 Funding Options:

  1. Your own funds
  2. Government grants assistance
  3. Private investors (be prepared to share equity in your business)
  4. Bank loans (repay with interest)
  5. Combinations of above
4.2 Tax Obligations As quoted on the ATO website: “Understanding taxes and meeting taxation obligations is essential for any business. You can save money by paying the right amount on time and taking advantage of any exemptions that you’re entitled to.”
It is also worthwhile checking out ATO’s tax concessions for small business entities
4.3 Record Keeping Essential to any business is an understanding of what business records you need to keep, and the creation of a basic record keeping system to support your business.
4.4 Tax Calender / Dates A useful date reminder tool is the ATO Small Business Tax Calendar which you can customise according to your business type.The ATO also provides key lodgement dates For businesses.
4.5 Business Accountant Seeking out a suitable business accountant would ensure that you to tick all the boxes relating to your finances and tax obligations. Furthermore they would be able to inform you of any new legislation.
5. Legal
5.1 Best Practices
Mandatory Codes
There are a variety of legal considerations you would need to familiarise yourself with and ensure your business complies with, depending on your business type:

  1. Fair Trading: for more information on product safety, standards and codes of practice.
  2. Australian Competition and Consumer Commission: for more information on mandatory standards.
  3. Standards Australia: for more information on voluntary Australian standards.
  4. International Organisation for Standardisation (ISO): for more information on international standards.

Also contact your state or territory Consumer Affairs Office for more information on mandatory codes of practice.

5.2 Legal Documentation Examples of legal documents:

  1. Non-Disclosure Agreement
  2. Agreements – Employees / Contractors
  3. Terms and Conditions – Sales
  4. Terms and Conditions – Purchases
  5. Standards & Codes of Practice
  6. Lease / Commercial Agreements
  7. Disclaimers, plus many more…
5.3 Legal Representative It is a good idea to seek out a legal representative suitable for your business type, who can assist in developing the necessary documents and ensuring you are informed of your legal obligations.
6. Insurance
6.1 Insurance Business Cover Consider appropriate insurance cover relating to your business type. Some of these include:

  1. Public liability
  2. Professional Indemnity
  3. Building & Contents Insurance
  4. Interruption Insurance
  5. Trauma Insurance
  6. Management Liability Insurance, plus others
6.2 Insurance Broker It may be wise to consult an insurance broker who can tailor your cover to suit your business type.

Please note this is a summary giving you basic information. It does not cover the whole of the relevant law regarding this topic, and it is not a substitute for professional advice.