Contents
Parties, weddings, corporate events – every fancy occasion calls for a standout photo opportunity. We’ve seen flower walls and standard photo booths but what about 360 photo booths? They’re fun and create a unique, immersive experience.
Starting a 360 photo booth business can be a fantastic side hustle or the start of an exciting full-time venture. Whether you’re aiming for a little extra income or building a full-fledged business, it’s crucial to set up your 360 photo booth business on a solid foundation right from the start.
We’ve got you covered on that front – keep reading to know how you can legally secure your 360 photo booth business.
How Does A 360 Photo Booth Work?
As the name suggests, a 360 photo booth captures the fun from every angle. Rather than producing a static photo, the end result is typically a short and sweet video.
Here’s how it works: participants stand on a platform, usually a circular plate, while a camera rotates around them, capturing a series of images. These images are then compiled to create a video.
The best part? Unlike traditional photo booths, users don’t need to stay still and wait for their photo to be taken. Instead, they can move around, strike different poses, and even incorporate props as the camera moves around them.
How Much Does A 360 Photo Booth Cost?
360 photo booth businesses have a relatively low set up cost. One 360 photo booth can cost anywhere between 1K-3K. However, you will need to factor in any additional equipment, how many booths you will be purchasing as well as typical business startup costs.
It’s a good idea to carefully plan out your finances. Consider creating a business plan that not only contains your financial plans but also all the groundwork you’ve done for your 360 photo booth business. Documenting all your research, goals and ideas into one ‘master plan’ is a good way to keep track of expenses, identify risks and make sure your actions are always in line with your ultimate vision.
How Do I Start My Own 360 Photo Booth Business?
When you’re ready to start your 360 photo booth business, you will need to pick out the right business structure and register your business. It’s necessary to take the time and consider the right structure for your business, as your choice will have long-term implications.
In Australia, the three most common types of business structures are a sole trader, partnership or company. The advantages, disadvantages and registration process for each business structure varies from one another. Let’s take a closer look at them.
Sole Trader
A sole trader business has the simplest registration process. To register as a sole trader, you need to apply for an Australian Business Number (ABN). The application for an ABN can be completed online and it’s completed free. Once you’ve completed the application, you will receive your ABN. If you’re going to be operating your sole trader business under a name that is different from your personal one, then you will need to register a business name. After that, your sole trader businesses are all set up and ready to go.
One thing to remember about sole trader businesses is that the term ‘sole trader’, literally refers to one person being the sole owner or operator of the business. This means, the owner of a sole trader business generally has full control over their business. However, this also means they typically have total liability. Sole trader businesses have no legal separation from their owners – meaning if you choose to set up as a sole trader, your business will always be attached to you personally. This can be a pretty big risk. Moreover, if you plan on expanding your 360 photo booth business in the future, a sole trader business structure may not be entirely equipped to support this kind of growth.
Partnership
To register your 360 photo booth as a partnership business, you will need to go online and secure an ABN for the partnership. To set up your partnership, you will also need to register a business name. There is an exception to registering a business name: if you choose to use the full names of all partners as your business name, you won’t need to register a separate business name.
When setting up a partnership business, it’s also a good idea to get a Partnership Agreement. For your 360 business to operate smoothly, all partners will need to be on the same page. A partnership agreement covers important matters such as how decisions are made, what the dispute resolution process is and what happens when a partner wants to leave the business. Partnership businesses are not a separate legal entity from you (much like a sole trader business) so the partners will generally be fully liable for the business – this can be a bit risky. Formalising the terms of your partnership in an agreement can help reduce the potential for misunderstanding, helping manage the drawbacks of registering business as a partner.
Company
A company is the most complex business structure to set up however, it’s also the business structure that provides the most legal protection. To set up a company, you have to register it with the Australian Securities and Investments Commission (ASIC). Companies are more regulated than other business structures, so as you navigate ASIC there will be a number of forms, rules and regulations you’ll need to familiarise yourself with. It’s a good idea to have a legal expert help with setting up your company, they can make the process much simpler and provide expert guidance. Moreover, you’ll need to determine important matters such as company governance, shareholders and directors when registering your company – expert help can make all the difference.
Even though a company has a somewhat complex set up process, it does provide greater legal protection. Once a company is registered, it becomes an independent legal entity. That means, the company is able to exist separately from you – giving you limited liability. This level of protection is a good way to limit any personal risk associated with starting a business. Additionally, a company structure has the right foundations for expanding and growing your 360 photo booth business in the future.
Do I Need Any Legal Documents To Start A 360 Photo Booth Business?
To secure your 360 photo booth business and in some cases, ensure legal compliance, well-drafted legal documents are essential. Legal agreements help manage the risks that come with running a business – giving you a better chance of avoiding unnecessary troubles.
The exact legal documents you’ll need will depend on your 360 photo booth business’s specific circumstance. However, here’s a few for you to consider below.
Service Agreement: When you offer your services to clients, it’s a good idea to have them sign a service agreement. This contract lets clients know important details such as the scope of your services, payment details as well as the rights and responsibilities of each party.
Non-Disclosure Agreement: A Non-Disclosure Agreement (NDA) is a legal document that specifies what information must be kept confidential.Confidentiality is crucial for any business, and a professionally drafted NDA helps ensure that sensitive business information remains secure and doesn’t fall into the wrong hands.
Privacy Policy: If your 360 photo booth business is going to have a website, then you might be legally required to have a privacy policy if you’re collecting personal information from users. Even if your website doesn’t collect information, having a privacy policy can be a great way to stay transparent with your clients.
Website Terms and Conditions: Another important document to have on your business website is a website T&Cs. This is a particularly important document, as it determines your controls and liabilities, as well as establishing the rules for using your website.
What Laws Will Affect My 360 Photo Booth Business?
Legal compliance needs to be carefully considered and followed when starting a 360 photo booth business. A legally compliant business tends to run smoother and avoid trouble, whereas a business that does not follow regulations is always at high risk.
A number of different laws will impact your 360 photo booth business, so it’s a good idea to get in touch with a legal expert and find out how you can operate your business in a legally compliant way. A few regulations for you to consider are:
- Australian Consumer Law (ACL)
- Intellectual Property (IP) law
- Local council rules/regulations
- Employment law
- Data & Privacy law
There’s a number of different regulations – don’t worry though! Our legal experts are happy to talk you through them, simplify the complex bits and let you know what you’ll need.
Key Takeaways
Starting a 360 photo booth business can be an exciting venture however, it’s important to legally secure your business. To summarise what we’ve discussed:
- Understanding and choosing the right business structure (sole trader, partnership, or company) is crucial, as it affects liability, growth potential, and legal requirements
- Sole trader businesses are simple to set up but come with full personal liability, while partnerships require agreements to manage risks and responsibilities among partners
- Companies, though more complex to establish, offer greater legal protection and are better suited for future expansion, providing limited liability for owners
- Essential legal documents, such as Service Agreements, Non-Disclosure Agreements, Privacy Policies, and Website Terms and Conditions, help protect and secure your business
- Complying with relevant laws, including Australian Consumer Law, Intellectual Property law, and Data & Privacy law, is critical to avoid legal issues and ensure smooth business operations
- Seeking legal advice can simplify the setup process, help navigate regulations, and provide the necessary foundation for your business’s success
If you would like a consultation on starting a 360 photo booth business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.
Get in touch now!
We'll get back to you within 1 business day.
Top 3 Legal Mistakes
Book in a free consultation with us to discuss your legal needs.