How much does an accountant charge to set up a limited company?
Roughly how much would it cost to hire an accountant to help me set up a limited company? How much do they usually charge for this service?
You can actually check the ASIC registration fee online. The accounting fee's that others have mentioned are on par with the industry average, though I've seen accountants charge upward of $1,500 for a pty ltd company.
The company structure and additional tax registrations (Payroll and GST) have important tax implications down the track. Generally registering as a limited company also has legal implications for the director. If you are in a complex situation it is worthwhile consulting with a lawyer and accountant.
A good account won't only register your business, but go over the best options for tax purposes. Make to take your time and understand what is best for your situation.
Fees will vary depending on what you, as the client requires to have completed and the accounting firm.
Fixed fee pricing is the best option, as you know exactly what services and cost you can expect upfront.
Pty Ltd $800 +
Trust $1500 +
SMSF $800 +
If you have beneficiaries, investors or special conditions, these will all increase the price.
Purely setting up a Pty Ltd company is around $1,000 which includes the $512 ASIC fee, but it is the advice time surrounding whether this is the best structure for you where the additional cost will be.
The amount of time our accounting practice sees the wrong structure being set up for a client is staggering and once set up there are potential adverse tax consequence off trying to undo it.
There are a lot of factors that need to be considered before deciding whether to set up a company, trust, Joint Venture or a partnership. The structure needs to be fit for purpose.
These are just some of the questions we ask our clients when we consider which structure/structures is best for them:
1. What are the risks of business being sued;
2. Whats the purpose of the business;
3. How do you want to get the profits out;
4. What income level do you want to be paid;
5. Are you going to employ staff or have contractors;
6 Is the business going to be operting long term or short term;
7. Is it going to be holding significant assets
8. Does it need outside funding
9. Are there going to be outside / non related parties part of the ownership structure
10. Do you have significant assets in your own name
More than happy to have a chat if you have further questions
We use a company secretarial provider who charges $720
From experience, accountants often charge a once-off fixed fee to help you set up your business. But in some cases, instead of a once-off fee, they may choose to include incorporation fees as part of your ongoing monthly accounting retainer (if you have one). To give you an idea, here is a list of average fees you can expect to pay an accountant/accounting firm to help you set up your company:
Company registration: $800 to $1,000
Public company registration: $1,700 to $1,900
SMSF Special Purpose Company: $800 to $1,000
SMSF Establishment with Special Purpose Company: $1,600
* Note that each of these pricing above include ASIC fees which is about $506 at the time of writing.
These fees usually include tax advice and registration and advice on setting up your company such as how to structure share capital, appoint directors and set up shareholdings etc.
Hope this helps!
