Structure Your Business for Success
Getting the right business structure in place is a foundation for long term success. How you choose to set up a business can have significant impacts when it comes to adding shareholders, changing your business strategy, planning for an exit or facing insolvency.
Our business advisors help you decide on the right structure at launch and provide expert assistance if business restructuring is required.
Business Structure Essentials
Types Of Business Structures
- Sole trader: The simplest and cheapest structure. As a sole trader, you’re the only owner and you control and manage the business.
- Company: Run by directors and owned by shareholders, a company is a legal entity with higher setup and administration costs and more reporting requirements than a sole trader structure.
- Partnership: Relatively inexpensive to set up and operate. You might choose a partnership if you and a friend or family member run the business together. Each partner shares income, losses and control of the business.
- Trust: When operating in a trust structure, a trustee (either an individual or a company) is legally responsible for the operation of the trust and profits go to beneficiaries.
What Structure is Right For Your Business?
The optimal business structure will strike the right balance between tax minimisation and asset protection. There’s no one-size-fits-all solution. It depends on the circumstances of the business.
How you choose to structure your business should be based on growth plans, risk factors, and exit strategy . Most importantly, get tailored advice before committing!
