Hi Josh,

Yes, as Clifford points out, a Pty Ltd. is rather like an LLC. You
designate the number of shares you want in the company, to represent
degrees of ownership.

It's a good idea to cover the basics from the start. I have a legal
document which explains my 'terms of trade', that I paid for from a
law firm. I can incorporate into a project agreement, or an ongoing
work agreement, and it spells out immediately where legal
responsibility begins and ends. I'm only now organizing my financial
structure, but if I was starting from scratch I'd find a good
bookkeeper to come over once a quarter and handle BAS, etc., and I'd
ask them in from day one to explain how to track financial data.

It depends what you're doing, but I think having your own company can
increase chances of winning certain types of projects too.

But it does cost more to run, and it takes a little while to figure
that out. I'm beginning to work out now that I have to charge x
dollars more an hour to afford the structure. It's not a huge added
expense, though, and the advantages outweigh the overhead, imo.

If it's a company without any employees, but only a director (you),
there are different structures for handling salaries than drawing a
traditional wage - though this is something you'd need an accountant
to advise you about.

Cheers,
Nicholas

On May 11, 12:57 pm, Joshua Partogi <[email protected]> wrote:
> Hi all,
>
> Related to this topic, to start a startup business in Australia, what
> do we need from legal perspective? Do we only need an ABN? Is there
> anything else that we need? Also, is there anything like LLC here in
> Australia?
>
> Kind regards,
> Joshua
>
> On Tue, May 11, 2010 at 8:25 AM, Jason Kotchoff
>
> <[email protected]> wrote:
> > Hey, thought there might be a few rails peeps out there who would find
> > this interesting - I just got an article up at:
> >http://www.ipitch.com.au/public/articles/bootstrapping-a-startup-for-...
>
> > and it talks a little about some pros and cons of doing your own thing
> > (as opposed to taking a paid gig).
>
> --http://twitter.com/scrum8
>
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