Providing a nest egg for my children

If you're thinking about starting your own business, the good news is that you're contributing to the very essence of the Australian economy. The vast majority of businesses in this country are small enterprises just like the one you are considering. While your decision is laudable, be prepared for some challenges ahead. You can come up against quite a bit of bureaucracy, but if you remember the essentials, you should be okay. What are the most important factors to consider as you head into the world of the entrepreneur?

Getting the Paperwork Right

You will need to register your operation with the authorities to get a business number and a tax file number before you can proceed. If your business is going to be in any other than your own name, you need to register that separately as well.

There are certain requirements for registering your company, according to your projected turnover. You may have to consider registering for goods and sales tax, and if you are going to employ others, you have to withhold their taxes under the pay-as-you-go scheme.

Structuring Properly

What type of business structure do you plan? Do you want to be a sole trader, engage with another person as a partner, or set up as a company? Each one of these has different consequences and you are best advised to consult with an attorney or a solicitor who is experienced in these areas if you're not sure. It's always a good idea to divide all of your income and expenditure between personal and business operations so that there is a clear delineation between the two.

Protecting Your Difference

When you set up in business, the chances are that you have something different to offer. You need to protect this if so, as this is your intellectual property. Make sure that you have protection in place with copyrights, trademarks or patents if needed.

Are You Well Enough Insured?

You not only need to protect your intellectual property, but you have to protect your business, yourself and your staff by getting the right type of insurance. Some of these policies are compulsory, especially when it comes to worker's compensation. Do you have the right amount of insurance to cover the building that you operate out of and the contents within? Do you have enough coverage to protect your assets and to replace any equipment or machinery that may go wrong?

Don't forget also, that you may need liability insurance to protect any members of the public who come into contact with you or your premises. This is definitely an area to get professional advice, as a misstep here could be very costly. Contact a company like National Corporate Broking Pty Ltd to learn more.