(Your Company) Pty Ltd

If you want to incorporate your business from sole trader/partnership etc, 1 July is a great time to do so.

Firstly, you won’t have to pay double accounting fees for 2 entities if you switch from one to the other seamlessly.

Secondly, you can have a fresh-start to the new Financial Year 2016/17 and get the house in order all in one go.

There are significant benefits from having a corporate structure including:

• limited liability for directors and shareholders / reduce risk;
• company tax benefits;
• own property and deal separately from owners;
• attracting investment/capital;
• greater impression as an enterprise; and
• you cannot claim the R&D tax incentive unless you’re a Pty Ltd (which for some businesses is reason enough).

Obviously advice from your accountant is needed from a financial/tax perspective. However, we find that businesses do not incorporate fast enough when they become very busy and this gets put to one side.

The other thing is that we find some businesses that are risky or naturally expose the owners to risk only obtain advice from their accountant as to the financial considerations and don’t consider the legal ramifications.

If you want to incorporate on 1 July, we’ll do it for free (excl gov’t charges) for you – if you decide to join any of our Legal Shield Packages

Did you know?

• If your turnover < $2m, any money you’ve spent on legal (or accounting) fees in order to start up your business can be claimed as a tax deduction during the first 12 months of operation. Talk to your accountant for more details.
• As of 1 July 2016, the company tax rate will be reduced to 27.5% tax on profits, instead of 30%. This applies to companies with < $10 million revenue.
• An immediate asset write-off for assets that cost less than $20,000 rather than needing to be written off over a number of years.

And if you’re ready to get all your legals in order to fully protect your venture in this new financial year, don’t hesitate to give us a call on 1800 820 083 and put Legal Shield to the test.

---------------------

Get in touch with Progressive Legal for honest and affordable legal advice. We are personal, accessible, approachable, transparent and passionate. We aim to be your long-term advisor not just a transaction like the traditional law firm. 

This article is meant to be informational only and should not be taken to constitute legal advice. Specific legal advice should be obtained for each individual business to make sure it is correctly applied.

Ian AldridgePrincipal Lawyer Progressive Legal - Law for [email protected]www.progressivelegal.com.au