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Tattoos are personal, creative, and often symbolic of a deeper meaning. As an ancient practice carried over into modern times, tattoos can be a creative outlet, a break from the ordinary, an expression of love, an aesthetic choice, or a nod to traditions and culture. Whatever the reason, tattoos are a significant form of self-expression.
That’s why tattoo artists play such a key role. A tattoo is as unique as the artist and their personal style. While some people are happy to stumble into the nearest tattoo shop and get their body art done, others spend months searching for the perfect artist before making a commitment.
If you’re a tattoo artist, your clients are out there. To help them find you, it’s essential to set up your tattoo business the right way. Starting a tattoo business with a strong foundation not only supports your growth but also makes it easier for clients to discover and connect with you. That’s where we come in — keep reading to learn how.
What Do I Need To Start My Own Tattoo Business?
Starting a tattoo business requires serious planning, thorough research, and careful consideration of multiple factors. No matter how much time you’ve spent perfecting your art, it won’t matter if your business crumbles at the first bump in the road.
To successfully launch your tattoo business, you’ll need more than just the right equipment. Proper registration, legal protection, and compliance with relevant laws and regulations are essential. You’ll also need to assess your competitors, analyse the market, and create a detailed budget plan.
This may feel overwhelming to tackle all at once. However, breaking it down into manageable steps and developing a comprehensive business plan can make starting your tattoo business far less daunting. If you need tips on writing a business plan, check out our article here.
Can I Run A Tattoo Business From Home?
You may have the option to start your tattoo business from home; however, you’ll first need to check if it’s legally permitted.
Zoning regulations and local council rules will determine whether you can run your tattoo business from home. You may also need to obtain a permit or register your business with your council before setting up. Additionally, as a business owner, you’ll need to carefully consider factors such as space, safety, and equipment. Clients need to feel comfortable coming to your premises and spending hours getting their tattoo, so it’s important to ensure your space is professional, well-organised, and easy to locate, as these factors can significantly impact your business.
Furthermore, think about scalability when starting your tattoo business from home. Operating from home can be a cost-effective way to save on startup expenses. However, if you plan to expand in the future, a home set up might not be able to support this.
How To Register A Tattoo Business
Once you’re clear on your business plans and details, it’s time to register your tattoo business. Business registration is the first ‘official’ step in bringing your business to life and it will lay the foundations for your business. Therefore, the decisions you make during this process are pretty crucial.
Registering your business requires determining the legal structure of your business. The most commonly registered business structures in Australia are a sole, trader, partnership and company. Let’s take a look at them in more detail.
Sole Trader
A sole trader business is precisely what the name suggests. If you like the idea of being a ‘lone wolf’ then a sole trader business might appeal to you, as it allows you to be the only operator and owner of the business. Setting up a sole trader business is also relatively easy. To start your tattoo business as a sole trader, you just need to go online and apply for an Australian Business Number (ABN). The next step is to register a business name however, you can skip this if you will be using your personal name and their business name. After this, you’re all set up as a sole trader.
As simple and easy as setting up a sole trader business might be, it’s important to keep the legal risks of operating as a sole trader in mind. A sole trader business, once registered, is legally attached to you. That means, whatever happens with the business can impact your personal assets as the business doesn’t exist independently from you.
Partnership
A partnership business is for those who want to go into business with another person or multiple people. A partnership business is registered in a similar fashion to a sole trader (see above) business. To register, apply for an ABN and register a business name. You can skip the name registration if all the names of the partners will be used as the business name.
In a partnership, all the partners will be equally liable for the business. Much like a sole trader business, there’s no legal separation between the partners and their business. Therefore, if the business is ever facing legal or financial trouble, all the partners could be at personal risk.
Company
The legal structure of a company differs significantly from that of a partnership or sole trader business. Once a company is registered, it becomes an independent legal entity. Essentially, the company exists separately from its owner or owners. It can perform actions in its own name, such as paying taxes, owning property, earning profits, and even incurring debt.
However, setting up a company is more complex and involves several key steps, including:
- Complying with the regulations set out by the Australian Securities and Investments Commission (ASIC)
- Determining company officeholders and their duties
- Deciding how the company will be governed
- Drafting key company documents, such as a Shareholders Agreement or Company Constitution
- Keeping up with ongoing obligations, such as audits, reporting, and fees
Despite the added complexity, setting up a company is often the recommended option for serious business owners. Since a company is a separate legal entity, its owners benefit from limited liability, meaning their personal assets are protected even if the business faces financial or legal issues.
If you’re planning to run the company on your own, don’t worry—companies don’t always require multiple people to get started. Certain company structures allow a sole director and shareholder to operate with the same legal protections as larger companies.
While setting up a company involves more steps than other business structures, it doesn’t have to be a daunting process. Seeking the help of a legal expert can ensure everything is done smoothly, effectively, and in full compliance with the law.
Do I Need A Licence To Start A Tattoo Business?
Yes, to operate a tattoo business in Australia, both the business and individual tattoo artists typically require licences. Licensing requirements vary by state and territory. Here’s a breakdown of the licensing requirements across Australia:
New South Wales (NSW):
- Tattooist Licence: Required for individuals performing body art tattooing procedures.
- Tattoo Parlour Operator Licence: Needed to operate a tattoo business.
Queensland:
- Tattoo Operator Licence: For business operators.
- Tattooist Licence: For individual practitioners.
Victoria:
- Specific licences for tattooists may not be mandated; however, compliance with public health and local council regulations is essential. Tattoo businesses must adhere to infection control standards and may need to register with local councils.
South Australia:
- No specific licensing requirements for tattooists or tattoo businesses. However, operators must comply with public health regulations and local council requirements, including infection control standards.
Western Australia:
- No specific licensing requirements for tattooists or tattoo businesses. Compliance with public health regulations and local council bylaws is necessary, particularly concerning skin penetration procedures.
Tasmania:
- No specific licensing requirements for tattooists or tattoo businesses. Operators must adhere to public health guidelines and may need to register with local councils, especially for skin penetration activities.
Australian Capital Territory (ACT):
- No specific licensing requirements for tattooists or tattoo businesses. However, businesses must comply with health regulations and obtain necessary approvals from local authorities.
Northern Territory:
- No specific licensing requirements for tattooists or tattoo businesses. Operators are required to follow public health regulations and may need to register with local councils.
Note: Licensing requirements and regulations can be subject to change. It is always a good idea to consult with your local authority or a legal expert to ensure compliance with current laws.
What Other Laws Do I Need To Know About?
Getting the necessary licence isn’t the only legal requirement your tattoo business must follow. A variety of regulations impact the industry, and it’s crucial to be aware of them and integrate compliance into your business practices. Here are a few key regulations to look out for:
Health & Safety Regulations: Health and safety are of paramount importance in a tattoo business, as one mistake can have serious consequences. Ensure your business practices meet the required standards and that your environment and equipment are always safe for use.
Australian Consumer Law (ACL): All your clients are protected as consumers under the ACL. As a business owner, it’s vital to understand your obligations towards them, such as providing accurate information, fair pricing, and adhering to refund and warranty policies.
Employment Law: Planning to hire employees? It’s your responsibility to ensure they are treated in accordance with Australian employment standards, including fair pay, working conditions, and workplace safety.
Industry Guidelines: Tattoo businesses must comply with various industry guidelines. These include ensuring customers provide fully informed consent for their tattoos, maintaining accurate records, and adhering to age restrictions.
Data & Privacy Law: When handling personal information about your clients, you are legally obligated to take reasonable steps to protect their data. This includes secure storage and limiting access to sensitive information.
Intellectual Property Law: In the creative industry, it’s essential to avoid infringing on another person’s intellectual property (IP). Additionally, protect your own designs and branding through trade mark registration and other legal measures.
Do I Need Any Legal Documents To Start A Tattoo Business?
Yes, legal documents are a great way to ensure your tattoo business is legally compliant and protected from potential risks — here’s a few legal agreements to think about.
It’s best to chat with a legal expert about the exact legal documents you will need for your tattoo business. They can guide you in the right direction and provide documents that are clear and tailored specifically to your business’s needs.
Key Takeaways
Starting a tattoo business requires serious planning and consideration of legal factors. Expert help can make this process easier and ensure everything gets set up right. To summarise what we’ve discussed:
- Starting a tattoo business involves planning, research, and compliance with various legal requirements, including licensing, registration, and adherence to health and safety standards.
- You may be able to run a tattoo business from home, but you must check local zoning regulations, obtain necessary permits, and ensure your setup is professional and scalable. Registering your business involves choosing a legal structure (sole trader, partnership, or company), each with distinct implications for liability and governance.
- Licensing requirements vary across Australian states and territories, with some requiring specific licences for tattooists and business operators.
- Legal compliance extends beyond licensing, covering areas such as health and safety regulations, Australian Consumer Law, employment standards, privacy obligations, and intellectual property protections.
- Key legal documents for a tattoo business include Service Agreements, Workplace Policies, Employment Agreements, and Privacy Policies, tailored to protect your business and clients.
- Seeking professional legal guidance ensures your tattoo business is set up effectively and complies with all relevant regulations, allowing for smoother operations and long-term success.
If you would like a consultation on starting a tattoo business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.
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