24 February 2026
Open a Company in Australia as a Foreigner
Our consultants can provide the necessary assistance to any businessman who wants to open a company in Australia as a foreigner.
It is highly recommended to open a company in Australia as a foreigner (we can assist in the procedure), given the country’s liberal approach to foreign investments. Legislation has been constantly modified to improve and update policies, so that the business environment in Australia can maximize its potential.
Foreign investments are regulated under the Foreign Acquisitions and Takeover Act 1975, Foreign Investment Reform Act 2020 and others, designed to protect and represent the interests of foreign investors, the Australian economy and the country’s national interest. If you want to open a business in Australia as a foreigner, we recommend you to get in touch with our specialists.
What should investors expect from the process of company formation in Australia?
Across the world, the incorporation process usually entails similar steps and procedures, which may vary in complexity and duration as per the local rules and effectiveness of each system. In Australia, the registration of a legal entity is a straightforward process, once all the documentation is submitted.
| Quick Facts | |
|---|---|
| Can foreigners open a business in Australia? | Yes, foreigners can start a business in Australia provided that they have met the requirements imposed by the local legislation. They can set up entities for commercial purposes or non-commercial (representative office, non-for-profit organizations). |
Is it difficult to open a company as a foreigner? | Foreigners must follow the same registration procedures applicable to local businessmens, so, in this sense, investors do not have to navigate a more complex incorporation regime. |
Do foreigners need special approval for business purposes? | In general, foreigners must simply comply with the stardard registration procedure and immigration formalities. Special approvals can apply for limited business sectors. In this case, investors must address the Foreign Investment Review Board (FIRB). |
| Is it costly to start a business? | In order to open a business in Australia as a foreigner, one needs to take into considerations costs such as: registration fees (they vary based on the company type registered), business name regisration fees, domain name registration fee, etc. These amount to at least $600-700, to which one must add other related costs (notary and lawyers’s fees). Compared to New Zealand, Australia has higher business costs, due to its higher cost of living. |
| Bureaucracy level in Australia | Australia has an efficient administrative system; in the last World Bank Doing Business report (2020) it ranked 14th – the ranking was discontinued in 2021. |
| What are the benefits of starting a business in Australia? | It is recommended to open a business in Australia as a foreigner due to the following: – the country has a competitive economy, rating as one of the most developed in the world; – it has a diverse consumer market; – it has a strategic geographic location for those who want to further expand on the Asian markets; – the Australian workforce is characterized by a large number of highly educated, highly skilled employees; – foreign investors can fully own a business and they can set up any of the companies regulated by the Australian law; – the Australian authorities offer ongoing support to the business environment (competitive tax regime, incentives, business programs), etc. |
| Types of operating costs of a business | Rent, business insurance, employment costs,utilities, marketing, etc. |
| How many businesses are registered on an annual basis? | In the financial year 2025-2026, 460,461 new businesses entered the market (ABS). |
| What was the region with the largest business registration share? | New South Wales (largest net increase: 26,057 businesses in 2025-2026) |
| Corporate insolvency | In 2025-2026, 375,331 businesses stopped trading (ABS business exits – not all of them insolvencies). |
| Law regulating foreign investments | Foreign Acquisitions and Takeovers Act 1975, Foreign Investment Reform Act 2020, Regulatory Powers Act 2014 |
| Does Australia apply a visa system for business purposes? | Yes, in order to open a company in Australia as a foreigner it is mandatory to obtain a proper visa (exemptions are granted solely for New Zealand citizens). |
| Residency requirements for foreign shareholders | While shareholders to not need to be Australian residents, the law requires local companies to have at least 1 director with Australian residency. |
| Minimum salary | $26.44 per hour (or $1,004.90 per week), as of 1st July 2026 |
| What types of businesses are popular in Australia? | In 2025-2026, the highest increase in businesses was observed for industries such as: health care and social assistance, transport, postal and warehousing, financial and insurance services. |
In general, foreign businessmen do not have to go through a more complex procedure than the one available for local investors who open a company in Australia. Still, in order to open a company in Australia as a foreigner, immigration formalities must be successfully completed (by obtaining an appropriate visa – the Business Owner subclass 890 closed to new applications in March 2025).
Outside of this requirement, investors can easily start a business in Australia, as there aren’t any other impediments, with the exception of those who need special approval for their investment projects. In this case, they need to address the Foreign Investment Review Board (FIRB), which grants approvals for land investments, commercial acquisitions, etc.
Obtaining special investment approval in Australia
As we have stated above, some of the foreign investors who set up a business in Australia must obtain special approval form the FIRB. However, this happens only in specific situations, as most foreigners can start the registration procedure without any impediments.
According to FIRB, foreign investors are required to submit an investment proposal to this institution in the case they are interested in any of the following:
- acquiring a substantial interest in an Australian business, corporation or trust (substantial interest is defined as owning at least 20% of the shareholding of any of these entities);
- owning at least 10% of the shares of an agribusiness or planning to hold a position of control in the said company;
- owning a direct interest in an Australian media company (at least 5%);
- having at least 10% ownership in a national security business or holding a position of control.
How much does it cost to open a company in Australia as a foreigner?
The costs associated with an investment made in Australia can vary greatly based on the nature of the project, therefore an assessment can be made only on case-by-case basis. However, all new registered businesses have certain costs in common. In the list below, our specialists in company incorporation in Australia highlight some of these costs, available for 2026:
- registration fees charged by the Australian Securities and Investments Commission (ASIC), as established under the Corporations (Fees) Act 2001;
- investors who set up a business in Australia with a share capital must pay a registration fee of $636;
- for companies without a share capital, the fee is $524;
- to this, investors must also calculate the costs for securing a registered trade name (for a 1 year registration, ASIC charges a fee of $47, and $108 for a 3-years registration).
Foreigners opening a business in Australia can find out basic details on the procedure in the infographic below:
Of course, these are some of the basic costs, to which investors must add notary’s and lawyer’s fees. In order to set up a company in Australia, foreign businessmen will need to take into account the following, which will create various operational costs:
- assign an office for the company (rent/purchase contact);
- employ workforce;
- hire accountants;
- invest in marketing;
- obtain utility services (water, gas, internet, etc.).
How much does it cost to hire employees in Australia?
Once investors have set up a company in Australia, they can start hiring employees. The employment costs vary greatly in accordance with the type of job activity, the expertise of the individual hired for the respective job opening, the industry and the location of the company.
For example, a customer support employee can be paid with an average salary of AUD 5,000, while a marketing specialist can have a salary of AUD 7,000. For other work positions, such as HR specialists working as a manager or for software engineers, the salary can be AUD 10,000.
If you plan to open a company in Australia as a foreigner, we recommend you request tailored advice on this matter from our consultants.
What are the current rental prices for offices in Australia?
During the process of company formation in Australia, investors must assign a registered address. Depending on the needs of the company, the business address can be registered with a virtual office service provider or it can be regular rented office space. Of course, investors who start a business in Australia can purchase an available office space, if they have the necessary capital.
Rental prices in Australia vary greatly based on the city where the business is set up – for instance, Sydney and Melbourne are the most expensive locations (with AUD 1,000 and AUD 850 per square meter per year).
Those who are seeking for cheaper options can invest in Adelaide or Perth, where prices are considerably lower (AUD 600). We advise to you address our specialists who can provide up-to-date information and can help you find a suitable office space in your price range.
How many companies are in Australia?
Australia has a reliable and competitive business market, accounting for more than 2,8 million active businesses. The reliability of the market can be seen in the number of businesses registered each year, which has been maintained at more than 400,000 registrations in the last 3 financial years.
In the following video, you can learn how to start an Australian business as a foreign businessman:
According to the Australian Bureau of Statistics (ABS), in the financial year of 2025-2026, there were 460,461 new business entries. Those who want to set up a business in Australia may opt for domains such as: transportation, warehousing, healthcare, financial services, which accounted for the largest increase in the number of registrations in the last financial year.
Please know you can also open a business in Australia as a foreigner by purchasing an already incorporated legal entity (known as a shelf company in Australia); our consultants are ready to provide tailored advice on how to start a successful business here.