Open a Limited Liability Company (Pty Ltd) in Australia

Investors can open a limited liability company in Australia. If you need information and assistance on the registration procedures and advantages that can be offered by a limited liability company, our team of specialists in company formation in Australia remains at your disposal.

What is a limited liability company?

The limited liability company is a legal entity that can be founded in Australia, as this business form is prescribed by the commercial legislation of this country. The limited liability company in Australia is seen, from a legal point of view, as a separate entity from its founders, with separate assets and debts.

What are the characteristics of a limited liability company in Australia in 2026?

When registering the limited liability company in Australia, investors should know that this entity has the following basic characteristics:

the company needs at least 1 shareholder for its incorporation;
this company type accepts a maximum of 50 shareholders;
it is necessary to appoint at least 1 director who ordinarily resides in Australia;
the directors must meet the minimum age requirement, which is of at least 18 years old;
according to the Business Section of the Australian Government, which is coordinated by the Department of Industry, Science and Resources, the application for registration can be completed in 15 minutes;
if all the documents are correctly completed and submitted with the local institutions, the limited liability company in Australia can be incorporated in minimum 2 days and maximum 5 days.

Quick Facts
Types of LLCs	Australia does not have a limited liability company (LLC), but it offers its equivalent, in the form of the Proprietary Limited Company (Pty Ltd), which has similar traits with the LLC. The Pty Ltd is the sole type of LLC.
Most suitable for	Investors can open a limited liability company in Australia if they want to start a small and medium-sized enterprise. The LLC can be used for most of the economic activities and it represents the most popular company type chosen for incorporation.
Minimum number of shareholders	1 shareholder
Maximum number of shareholders (if applicable)	50 shareholders
Law regulating the procedure to open an LLC	The Corporations Act
Institution in charge with the registration of the LLC	The Australian Securities & Investments Commission (ASIC)
Director requirements	1 resident director with an age of minimum 18 years old. The director must apply for a director identification number.
Corporate taxes	– corporate tax (30% – standard rate, 25% – reduced rate); – capital gains tax;the payroll tax (it varies from one state to another, from 4% to 6.85%); – 10% – the Goods and Services Tax (GST – the equivalent of the VAT); – withholding taxes on interest, royalties and dividends (it varies from 0% to 30%, depending on the country of residence of the recipient party).
Minimum requirements to open an LLC	In order to open a limited liability company in Australia, the following steps are necessary: – reserve a company name with ASIC; – obtain an Australian Company Number (ACN) and an Australian Business Number (ABN); – draft and sign the company’s bylaws; – obtain a Tax File Number (TFN) and register for GST; – open a corporate bank account; – find a suitable address for the headquarters of the company.
Apply for a business number (yes/no)	Yes
Foreign ownership rules	Foreigners can set up a business here without having to partner up with an Australian citizen/resident.
Who can register an LLC	Foreign individuals and companies, foreigners who have their residency in Australia and Australian citizens.
Statutory documents of an LLC	Investors can open a limited liability company in Australia by signing the replaceable rules and/or the constitution.
Documents to prepare for the incorporation	– shareholders details; – the identity documents of the shareholders and directors; – if the shareholders are other companies, then it is necessary to present the incorporation documents of said companies, certificates of registration, recent tax reports, etc.; – registration forms; – certified translations, if necessary.
Audit requirements (yes/no)	Yes (but only when certain thresholds on revenues, assets and employees are met).

What are some of the business advantages investors can obtain through a LLC?

Some of the highlights that can be of interest for an investor opening a limited liability company are the following:

the investor can rent the office premises for the company prior to completing all the steps for company formation in Australia;
the local or foreign businessman has the right of developing a business activity through a limited liability company by renting the services of a virtual office;
the legal entity can be used for carrying business operations on the Australian territory;
the company can enter commercial contracts with local clients and it can also issue invoices to them;
through this business form, the investor is allowed to import in Australia raw materials;
the company can also enter export operations from Australia.

What are the registration costs for a company in Australia?

The registration itself has specific fees, which are prescribed by the Corporations (Fees) Act 2001 and Corporations (Review Fees) Act 2003. The fees are updated each year, on 1st of July, in accordance with the modifications deriving from the consumer index prices. Those who want to set up a company in Australia have to pay the following fees:

if the company is registered under the Section 118 and if the company has a share capital, the fee is $636;
if the company does not have a share capital, then the fee will be $524;
if the company is registered under the section 601 BD, there are 2 fees – $524 and of $636;
the registration of a foreign company in Australia is charged with a fee of $636.

What is the constitutive document of an LLC?

In Australia, the LLC gains legal recognition through its constitutive documents (or bylaws). There are several options concerning the bylaws and our consultants in company formation in Australia can provide assistance on the provisions of these documents, which can be:

the replaceable rules, regulated by the Corporations Act 2001;
the constitution;
replaceable rules and the constitution.

If you want to register an Australian LLC in 2026, we invite you to read our infographic, which presents the basic information concerning this legal entity:

What are the obligations concerning the company’s registered address?

During the process of company formation in Australia, investors have to assign a registered address to the newly founded company. According to the law, the following rules apply:

it is mandatory to select a state/territory in Australia, even if you will carry out your business activity nationwide;
it is also required to provide 2 registered addresses – one for the principal place of business and one for the registered office address.

Do I need to register the LLC for taxation?

Yes. The company may also need to be registered for the Goods and Services Tax (GST) in the case in which the company’s sales reach a value of more than AU $75,000.

What identification numbers should I obtain for my company?

In Australia, companies can be issued with 2 different types of identification numbers, as follows:

the Australian Company Number (ACN) – a 9 digit code that it is issued during the process of company formation in Australia to all companies;
the Australian Business Number (ABN) – issued for tax purposes to newly registered legal entities, by the Australian Taxation Office.

What licenses are necessary to open an LLC in Australia in 2026?

When determining the types of licenses that can be required for an Australian business, the investors should first take into consideration the company type under which they will develop their business operations, the types of activities that will be carried out here, as well as the location of the business.

The video below offers a short presentation on the limited liability company in Australia:

Can I make changes to my LLC?

Yes, once the procedure for company formation in Australia has been completed and the legal entity begins its operations, investors have the right to make various changes to the data initially registered, changes that must be reported to the authorities. Some of these are:

the change of the trade name;
the change of address;
the modification of the company’s directors and/or shareholders;
the modification of the financial year (it can be done in specific situations);
change, repeal or adopt a constitution;
change the company type (the LLC can be modified into 3 other business forms).

How can I notify the authorities concerning any corporate changes?

By completing specific forms with ASIC. In certain cases, fees apply (for instance, for the modification of the LLC into a different company type).

In what other countries can your team offer legal services useful for businessmen?

We provide dedicated company formation services in many countries. Below, we highlight some of the services we offer in several jurisdictions around the world:

in case you need business immigration assistance in a European country, such as Portugal, we can put you in contact with our local partners who are experts in immigration matters – Immigrate-Portugal.com;
if you want to start a business in a European country, such as Malta or the Netherlands, we offer the necessary support;
if you need assistance in developing your company’s website, we recommend our partners – Clientpedia.com;
you can also rely on us if you want to open a business in the neighboring country New Zealand.

We invite you to contact our team of consultants, who can easily help you open a company in Australia.