If you are a sole trader or even operate under a partnership ABN and you want to upgrade your business structure from a trading name to a Pty Ltd Company with its own ACN, then in most cases, the answer is yes.
By changing your business structure from either a sole trader or partnership to a 'Pty Ltd' company with its own ACN provides you the opportunity to seek investment and limit your personal liability. It also changes your reporting requirements, tax and legal obligations. Once you decide to set up a company structure, there are 3 key steps you'll need to take:
1. Register your company
You can register your company online via our integrated platform. This service allows you to apply for your Pty Ltd company whilst still keeping the same business name, and other key business registrations at the same time.
2. Transfer any assets
After your company is registered, you should transfer any licences and assets (including trademarks and other IP) to the new company.
3. Cancel your old ABN
If you’ve been using your sole trader ABN to do business, you’ll need to cancel it if you will no longer use it to trade. Note: you cannot transfer your sole trader ABN to your new company as it will have its own newly created ABN.