Ongoing costs for a company (Pty Ltd)

This article will provide a brief synopsis of the different types of costs you can expect to incur running a company (Pty Ltd) in Australia

Updated over a week ago

While every company has different costs associated with the everyday running of their business, there are a few ongoing costs that are essential for maintaining compliance and ensuring the smooth operation of a business.

Obligations to ASIC

ASIC is the government regulatory body for all companies within Australia. To meet the legal requirements of a company, these are the costs that are required:

  • Registration Fees: When setting up a company, there are registration fees payable to ASIC and will provide the issuance of an Australian Company Number which is required to run a company in Australia.

  • Annual Review Fee: Every year, companies must pay a review fee to ASIC which is due on the anniversary of when the company was registered.

  • Ad Hoc Fees: In addition to the annual review fee, companies may incur ad hoc fees for specific transactions or changes to their corporate structure. For more information, contact our business services team to determine your specific obligations

Obligations to the ATO

The Australian Taxation Office governs the tax of companies. There are several ongoing costs and requirements that companies must meet, including:

  • Annual Tax Return: Like individuals, companies must prepare and submit annual tax returns to the ATO. Depending on the income and expenses, there may be an outstanding fee owed at the end of the financial year.

  • Additional reporting requirements: BAS (Business activity statement), GST, PAYG - these are all different

Additional costs based on specific industries

Depending on your company structure and the industry, there may be additional ongoing costs that you need to keep front of mind. These include:

  • Acquiring or ongoing licenses/permits

  • Trademark registrations & renewals

  • Insurance

For more information on your specific industry, you can visit the government website here.

Lawpath Help

If you'd like specific information for the ongoing costs of your company, please reach out to one of our Lawpath consultants here and they can advise you of the next steps.

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