Registering a company in Australia as a foreign business in 2026 involves more than incorporation. It requires choosing the right structure, meeting local requirements, and ensuring ongoing compliance from the outset. This guide outlines the key steps, including the difference between a branch and a company, and what foreign businesses need to do to set up and operate in Australia correctly.
Do you need to register a company in Australia?
If you are doing any real business in Australia, you need to register a company. The moment you start operating in a structured way (e.g. signing contracts, working with Australian clients regularly, hiring staff, or setting up a presence) you are considered to be “carrying on business.” At that point, you are expected to register with the Australian Securities and Investments Commission (ASIC).
Many foreign businesses assume they can delay this step while they ‘test the market’. In reality, once your activity becomes ongoing or revenue-generating, registration with ASIC should then be considered. It is something you should get right early to avoid complications later.
Should you set up a branch or a company?
Choosing between a branch and a company is typically your first and most important decision.
A branch involves extending your existing overseas company into Australia. While it may appear simpler to establish, there is no legal separation, meaning the parent company assumes full liability.
A company, on the other hand, is a separate Australian entity (usually a Pty Ltd company). This structure provides legal separation, helping to contain risk. It is also often viewed more favourably by Australian clients, banks, and business partners.
Based on our experience, a lot of foreign businesses that enter the Australian market opt for a company due to the flexibility and protection it offers.
Can you fully own the company as a foreigner?
You can fully own 100% of the company in Australia as a foreigner. Australia is highly open to foreign ownership, and there is no requirement for a local shareholder or partner.
However, local accountability is still required. For example:
If you set up a company, you will usually need at least one Australian resident director.
If you register a branch, you must appoint a local agent.
So, while you can retain full ownership, you cannot operate entirely from offshore without a local presence. This is a common challenge for overseas businesses entering Australia, and it is exactly where we can assist by providing compliant resident director and local agent solutions to ensure your setup meets the regulatory requirement from day one.
What does the registration process look like?
Once you understand the steps, the process is relatively straightforward:
1. Decide on your structure
Choose between a branch or a company, as this will determine the requirements that follow.
2. Confirm your company name
We will help you check if your proposed name is available. If it is already registered or too similar to an existing business, delays can occur.
3. Apply for Director Identification Numbers (DINs)
Each director must obtain a DIN, which is now a standard regulatory requirement.
4. Appoint a local representative
As previously mentioned, you need to appoint at least one Australian resident director for a company and a local agent for a branch. Take note that the local representatives must be in place before your company registration.
5. Secure a registered office address
You need an official address in Australia that will be used for ASIC and other government correspondence, serving as an official location for compliance checks and other business-related matters. This registered address must be a physical location in Australia and cannot be a P.O. box. This service is something we offer to overseas clients.
6. Prepare the required documentation
The required documents will typically include overseas incorporation documents, as well as details of directors and shareholders, amongst others. Our team will provide you with a complete list of the documents needed based on your chosen company structure. All documents must be properly certified and, where necessary, translated into English.
7. Register for an Australian Business Number (ABN) and GST if applicable
An ABN registration is essential for a company and branch operating in Australia. This unique 11-digit number identifies your business to the government and is required for various business activities, such as tax registration, invoicing and other operational functions. The process may take up to 70 days for businesses based overseas after sending proof of identity documents to Australia by post.
A GST registration is required if your Australian turnover is expected to reach $75,000 or more, or if you are carrying on an enterprise that makes taxable supplies in Australia.
8. Set up your banking
You may open an Australian business bank account from overseas with our help. This service is only available to clients who are using our company formation and/or resident director services.
9. Meet tax and accounting obligations
Foreign-owned companies are taxed in the same way as local companies. This generally includes corporate income tax at approximately 25% to 30%, depending on the business. You must also comply with ongoing reporting obligations to the ATO, including annual tax returns and, where applicable, Business Activity Statements (BAS). If you employ staff, you will also need to manage payroll tax, superannuation, and single touch payroll reporting. Our team can assist you with all these matters.
10. Maintain ongoing ASIC compliance
Ongoing compliance with ASIC requires maintaining accurate company records, updating company details, and lodging financial statements where applicable. Most compliance issues arise from delays or poor ongoing management after incorporation. Key risks include appointing inexperienced or non-knowledgeable local directors or agents which can lead to compliance breaches, poor governance oversight, and regulatory exposure.
At ABN Australia, we can assist you in maintaining statutory company records, updating ASIC details as required, and ensuring all annual compliance obligations are met on an ongoing basis.
How ABN Australia can help with foreign company setup
At ABN Australia, we support foreign businesses through every stage of entering the Australian market, from choosing the right structure and completing ASIC registration, through to appointing resident directors, securing registered office addresses, and managing ABN, GST, banking, tax, and ongoing compliance obligations. Our team of experienced compliance and accounting professionals provides end-to-end support to ensure your setup is correct from day one and remains compliant as you operate and grow in Australia, helping you avoid costly delays, regulatory issues, and structural mistakes that can limit your long-term flexibility.
Last updated: 06th May 2026
About the Author
Ro Elvinia is ABN Australia's Customer Success and Marketing Manager. She holds a bachelor’s degree in mass communication, majoring in journalism, and also has an academic background in civil engineering. With over a decade of experience in professional writing and a background spanning journalism, Australian immigration, and business services, Ro brings a unique mix of communication and analytical expertise. She works closely with international clients and contributes to ABN Australia's content strategy, helping global businesses stay informed and confident as they navigate the Australian market.
Ro Elvinia
Customer Success and Marketing Manager