Number of Business Owners: 1-2+
Advantages:
- Shareholders’ liability is limited to the value of their shares
- Companies pay tax at a lower rate
- Some personal asset protection
Disadvantages:
- More complex structure with ongoing administrative requirements, eg company tax returns, reporting to ASIC & ATO
- Director & shareholder details are on the public record
- Directors can be liable for the losses of the company
Quick tip! Make sure to get all company officers and shareholders/members to sign a consent form before you register your company. Get your forms here:
Consent to act as Public Officer