ACN Registration and Company Setup in Australia

Thinking about setting up a company in Australia? One of the first terms you’ll come across is “ACN registration”. It’s a key step in new company registration and a common place where founders have questions.

In this guide, we’ll explain what an ACN is, when you need one, and the practical steps to register a new company with ASIC. We’ll also cover the decisions you’ll make during company set up, the documents you should have in place, and your ongoing compliance obligations as a company director.

If you’re ready to set up a company the right way, this step-by-step overview will help you get organised and avoid common pitfalls.

What Is An ACN And When Do You Need It?

An Australian Company Number (ACN) is a unique nine‑digit number that ASIC (the Australian Securities and Investments Commission) issues to every company registered in Australia. Think of it as the company’s official ID with ASIC.

Here’s the important part: you don’t “apply for an ACN” separately. When you register a company with ASIC, you’re issued an ACN as part of that process.

Do you always need an ACN? Not necessarily. It depends on your business structure:

Sole trader or partnership: No ACN is issued. You operate using an ABN (Australian Business Number) registered to you or your partnership.
Company (Pty Ltd): Yes, you’ll be issued an ACN automatically when the company is registered. You’ll also usually register an ABN for the company after incorporation.

If your plan is to set up a company in Australia (for limited liability or growth reasons), ACN registration is part of the standard company registration workflow.

ACN Registration: Step-By-Step To Register A Company In Australia

Below is a practical roadmap to register a new company and obtain your ACN. You can do this yourself, but many small business owners prefer to work with a lawyer so the structure, documents and registrations are right from day one.

1) Choose Your Business Structure

Before you register anything, confirm that a company structure suits your goals. A company is a separate legal entity and can provide limited liability protection, which is a big reason many founders choose this path. If you’re unsure, get advice before you proceed.

2) Pick A Company Name (Or Use The ACN As Your Name)

You can register a unique company name (subject to ASIC’s rules), or you can be registered with a name that is the ACN itself. If you plan to trade under a different brand later, you’ll likely want to register a Business Name to match your trading identity.

3) Confirm Directors, Secretary And Shareholders

Every Australian company must have at least one director who ordinarily resides in Australia. Make sure your proposed directors are eligible and consent to act. If you’re not sure whether you meet the residency requirements, read about the resident director requirements before you lodge your application.

Determine how many shares the company will issue on day one, at what issue price (if any), and who will own them. This is also when you consider different classes of shares if needed. Your initial share structure should align with your plans for funding and ownership.

5) Prepare Your Company Rules

Companies can either use the replaceable rules in the Corporations Act or adopt a tailored Company Constitution. A constitution allows you to set clearer rules for decision-making, share transfers and governance, which is helpful as your business grows.

6) Lodge Your Company Registration With ASIC

When you lodge your new company registration with ASIC (directly or through a service provider), ASIC will process your application and issue your ACN. You’ll receive a Certificate of Registration and company details confirming your new entity.

7) Apply For ABN, GST (If Needed) And Bank Accounts

Once the company is registered and you have your ACN, apply for an ABN for the company. If your projected turnover meets the threshold, register for GST. You can then open a company bank account using your ACN, ABN and registration documents.

8) Put Your Legal Documents In Place

If you have co‑founders or plan to bring investors on board, formalise your arrangement with a Shareholders Agreement. If you’re trading online or collecting customer information, prepare your website terms and a Privacy Policy. If you plan to hire staff, make sure you have a compliant Employment Contract ready.

9) Start Trading And Keep Good Records

Use your ACN and ABN correctly on invoices and legal documents, keep your company details up to date, and diarise your ASIC annual review date. Good compliance habits early will save you time and money later.

What Information Do You Need To Register For An ACN?

To lodge a new company application and receive an ACN, you’ll need the following details ready:

Proposed company name (or confirmation you’ll register with the ACN as your name)
Registered office address and principal place of business
Full details of each director and company secretary (name, DOB, address, place of birth)
Share structure: number of shares, classes, and initial shareholders
Company rules: replaceable rules or a Company Constitution
Consent from each director and shareholder

From November 2021, directors also need a director ID (obtained through the Australian Business Registry Services). Make sure all directors have applied for their director ID before you submit your company registration.

After successful lodgement, ASIC will issue your ACN along with your Certificate of Registration. You’ll then use those details to set up other registrations and systems for your company.

Common Decisions During New Company Registration

Registering a company involves a series of small but important decisions. Here are the key ones and how to think about them.

Company Name And Branding

Choose a name that’s not identical or too similar to an existing company or business name. If you’re going to trade under a different name to your company’s legal name, register a matching Business Name so customers can find and trust your brand. Down the track, consider registering trade marks to protect your brand identity.

Directors, Secretary And Residency

At least one director must be ordinarily resident in Australia. This is non‑negotiable. If your founding team is mostly offshore, plan ahead to comply with the resident director requirements and obtain director IDs in time.

There’s no single “right” number of shares. Many founders issue a simple number (for example, 100 or 1,000) so percentages are easy to calculate. If you expect to raise capital or allocate employee equity, you may prefer a higher number and a clean class structure from day one.

If you’ll have more than one owner, set roles, rights and responsibilities clearly in a Shareholders Agreement. This complements your constitution and reduces the risk of disputes about decision‑making, share transfers and exits.

Replaceable Rules Or Constitution?

Replaceable rules are the default rules in the Corporations Act. They’re functional, but not tailored. A bespoke Company Constitution gives you more control over how your company operates. For most growing companies, adopting a constitution at the start is a smart move.

Execution Of Documents

Understanding how to validly sign contracts as a company helps you avoid disputes. Many companies rely on company execution provisions under section 127 of the Corporations Act, which can streamline signing by directors or a sole director/secretary. Get familiar with the requirements so your agreements are enforceable.

Trading Name And Marketing

Your ACN is your company’s legal identifier, but it’s not your brand on its own. Make sure your invoicing, website footer and documents show the correct legal details (company name and ACN) and, if applicable, the registered business name you’re trading under.

Ongoing ASIC Compliance After ACN Registration

Once your company is up and running, there are ongoing obligations to keep your details current and remain compliant. Building these into your calendar from day one is the easiest way to stay on top of them.

Annual Review And Company Details

ASIC sends an annual statement each year around your registration anniversary. You’ll need to review the details, pay the annual review fee and pass a solvency resolution confirming your company can pay its debts. If your registered office, directors or share structure change during the year, notify ASIC within the required timeframes.

Using Your ACN Correctly

Display your company name and ACN on key business documents, including invoices, receipts, order forms and official correspondence. This helps customers and suppliers identify your company and is an ASIC requirement.

ABN, GST And Tax Obligations

If your company is registered for GST, make sure you’re lodging your BAS on time and issuing valid tax invoices. Work with your accountant to stay compliant with tax and payroll obligations as you grow.

Key Contracts And Policies

Keep your core legal documents current as the business evolves. If you change your pricing or service model, update your customer terms and your Privacy Policy. If you start building a team, implement an Employment Contract and basic workplace policies alongside your onboarding process.

Corporate Governance Basics

Hold director meetings when important decisions are made, keep minutes, and ensure you’re meeting your duties as a director. If you raise funds or bring on new co‑founders, revise your Shareholders Agreement and constitution if necessary so they reflect the new ownership and rules.

FAQs About ACN Registration

Can I Register An ACN Without Registering A Company?

No. An ACN is issued by ASIC as part of company registration. If you’re not setting up a company, you won’t receive an ACN. Sole traders and partnerships operate under an ABN.

How Long Does It Take To Get An ACN?

Once your application is correctly lodged and paid, ASIC typically issues your ACN very quickly-often the same day. Delays usually happen when information is incomplete or a company name needs review.

What Does ACN Registration Cost?

ASIC charges a fee to register a company. You may also incur professional or service provider fees if you get help with your application, a Company Constitution, or other setup documents.

Do I Need A Business Name As Well?

Only if you plan to trade under a name that’s not your company’s legal name. In that case, register a Business Name that matches your trading brand.

What Happens After I Get My ACN?

Apply for the company’s ABN, register for GST if required, open a company bank account, and put your key contracts and policies in place. You’ll also receive a Certificate of Registration and company extract; keep these with your corporate records.

Should I DIY Or Get Help With New Company Set Up?

Plenty of founders DIY their application-and if you’re comfortable with the steps and decisions above, that can work. But if you’re juggling timelines, co‑founders, investor expectations or future franchising plans, it’s worth getting professional support so your structure and documents are tailored and compliant from day one.

Engaging a lawyer for a Company Set Up can also save time by coordinating the registration, constitution, share structure and initial contracts at the same time. That way, you can focus on customers and growth knowing the legal foundation is sound.

Common Pitfalls To Avoid With ACN Registration

Picking a name too close to an existing one, leading to confusion or disputes.
Forgetting the resident director requirement or leaving director IDs to the last minute.
Issuing shares informally without paperwork or clear ownership records.
Relying on replaceable rules when your business needs a tailored constitution.
Trading without proper customer terms, a Privacy Policy or employment agreements, which increases legal risk.
Missing annual review dates and ASIC updates, which can lead to late fees or non‑compliance.

Key Takeaways

ACN registration happens when you register a company with ASIC-there’s no separate ACN application.
Before you register, confirm a company is the right structure and line up your name, directors, share structure and rules (replaceable rules or a Company Constitution).
Have your details ready: registered office, director consents, shareholder details and share structure-this speeds up approval.
If you have co‑founders or future investors, lock in expectations with a Shareholders Agreement from day one.
After registration, obtain your ABN, set up tax and banking, and implement the right contracts and policies for trading and hiring.
Stay compliant with ASIC annual review, solvency resolutions and company detail updates to avoid penalties and keep your company in good standing.

If you’d like a consultation on ACN registration and setting up your company, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no‑obligations chat.

ACN Registration: How To Register A Company In Australia