Choosing Your Business Structure

Save on Tax. Protect Your Assets.

Business structures are one of the first considerations when forming a company, however choosing an unsuitable structure can lead to higher taxes and unforeseen personal liabilities. That is why Oyster Hub Accountants can help you choose the right structure for your use case. Book a discovery call and talk to us today.

Why Choosing a Right Business Structure in Important for Your Business?

One of the key decisions you’ll make when starting a business is its structure. Your choice of structure will depend on the size and type of business, your personal circumstances and how much you plan to grow the business. You can change your business structure as your business grows or your circumstances change.

Your business structure can determine your:

Saving on High Tax Liabilities 

Responsibilities as a Business Owner

Potential Personal Liability

Your Asset Protection

Ongoing Costs and the Volume of Required Paperwork.

How Wrong Business Structures Can Cost You Millions !

High Tax Liabilities

Once you know your business structure, forecasting your business cash flow facilitates in your ability to offset uncertainty by predicting peaks and troughs in your businesses cash flow.  The purpose of the forecast is to highlight cycles in your business and predict your cash flow on a monthly basis.

Risk as Business Owner

As a business owner you may not know the correct business structure for you at that point in time.  Hence by making this decision on your own without any specialist guidance could lead you down an unwarranted pathway and put you face on with significant risks.

Personal Assets Risk

Ensuring you have the correct business structure can enable you to limit putting your personal assets at risk rather actually protecting them against any risks. For more information and to accurately decipher how to do this book your free business structure advice call!

Launch your business

Once you have taken advice from your personal accountant, mortgage broker or business coach relating to the structure to set up your business you will now be able to launch your business entirely.  This will enable you now to focus on how to optimise the benefits of your chosen business structure.

6 common business structure mistakes to Avoid

Mistake 1

Operating as a Sole Trader or Partnership & holding personal assets under the same name.

Mistake 2

When the company shares are held in an individual's name whilst trading as a company.

Mistake 3

Having your business and personal assets under one umbrella.

Mistake 4

When family members are not earning more than you yet operating under a sole trader or partnership.

Mistake 5

Purchasing high capital growth assets such as investment properties when running your business in a company structure.

Mistake 6

Not considering succession plans or estate planning options when operating as a sole trader or under a partnership.

FAQ - Common Business Structures

Learn  advantages and disadvantages of each different business structure and work out which structure best suits your needs.The most common types of business structures in Australia are:

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