Starting a business is an aspiration for many, but it requires thorough planning and consideration. This blog post will guide you through the key factors to consider before launching your business in Perth.
Are You Ready?
Evaluate Your Readiness
Starting a business demands full commitment and significant financial investment. Make sure you’re ready to dedicate the required time and resources.
Seek Support
Consult with family and friends as their support is crucial to your success. Also, seek out business advisors and attend relevant training events.
Make Key Decisions
Choose the Right Business Structure
Decide whether you’ll operate as a sole trader, company, partnership, or trust, as each structure has unique legal and tax implications.
Understand Employee vs. Contractor
Know the differences to ensure correct tax and superannuation obligations.
Choose a Business Name
Select a unique business name that reflects your brand and register it properly.
Plan Your Business
Develop a Business Plan
A comprehensive business plan sets you up for success, outlining goals, strategies, and necessary resources.
Research Your Market
Understand your target market, including customer needs and competitors.
Create a Marketing Plan
Define your marketing strategies, target audience, and how you’ll reach them.
Set Up Your Digital Presence
Build an online presence through a website and social media to reach a broader audience.
Set Up Finances
Secure Funding and Resources
Identify financial resources like grants, loans, or investors to fund your business.
Forecast Cash Flow
Plan your cash inflows and outflows to ensure financial stability.
Understand Tax Obligations
Learn about different taxes that apply to your business, including GST, income tax, and more.
Protect Your Business
Meet Work Health and Safety Requirements
Adhere to local WHS laws to ensure a safe working environment.
Protect Intellectual Property
Understand how to protect your business’s IP, including trademarks and patents.
Prepare for Emergencies
Have an emergency management plan to ensure your business can continue operating during a crisis.
Choose Insurance Policies
Obtain necessary insurance, such as workers’ compensation and public liability insurance.
Know the Law
Comply with Legal Essentials
Understand all legal requirements, from business registrations to fair trading laws.
Understand Fair Trading Laws
Ensure your business practices align with the Competition and Consumer Act and Australian Consumer Law.
Meet Standards and Codes
Comply with mandatory and voluntary standards to improve business operations and competitiveness.
Hiring People
Recruit Employees
Follow legal requirements for hiring, payment, and record-keeping for employees.
Consider Apprentices and Contractors
Understand your obligations when hiring apprentices or contractors.
Record Keeping
Set Up Record Keeping Systems
Organise your business records, including financial transactions and employee records, to meet tax obligations.
Keep Tax and Super Records
Maintain accurate records of all transactions for at least five years to support tax returns and reports.
Frequently Asked Questions
1. What legal structure is best for my business?
The best legal structure depends on your business needs, liability preferences, and tax obligations. Common structures include sole trader, company, partnership, and trust.
2. How can I secure funding for my startup?
Funding can be secured through personal savings, bank loans, government grants, or investments from family and friends.
3. What are the essential permits and registrations needed?
You need to register your business name, acquire an ABN, and obtain relevant licences and permits specific to your industry and location.
4. How do I protect my intellectual property?
Protect your IP by registering trademarks, patents, and copyrights. Understand the types of IP and apply for formal recognition where necessary.
5. What are the primary taxes small businesses need to be aware of?
Small businesses need to consider GST, income tax, capital gains tax, fringe benefits tax, and PAYG withholding. It’s advisable to consult with a tax professional.
For personalised tax advice and more information, contact Perth Tax People. We’re here to help you establish and grow your business successfully.
Related posts:
- Top Reasons Why Startups Fail and How to Avoid Them
- How Can WASBDC Help Your Small Business?
- What Questions to Ask Before Hiring a Small Business Advisor
