Choosing an
ownership
structure for
your business
A guide for business operators in South Australia
www.statedevelopment.sa.gov.au/smallbusiness
Table of Contents
01 Overview ....................................................................................................... 3
02 How do I choose the appropriate legal structure for my business?......... 4
03 Legal forms of ownership ............................................................................ 5
04 Registering a business name .................................................................... 17
05 Summary ..................................................................................................... 19
06 Contacts ...................................................................................................... 20
07 Notes ........................................................................................................... 21
Choosing an ownership structure for your business
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01 Overview
One of the early decisions you will face when going into business is what form of
legal structure should be adopted.
Your choice will involve consideration of many variables and often personal
preferences. In most cases, it will boil down to being unincorporated (sole trader
or partnership), forming a proprietary company or operating as a trading trust.
Each has advantages and disadvantages, so it is important that you make the
decision that is right for you in conjunction with your professional advisers.
Irrespective of the legal structure adopted, you may also choose to trade under a
business name. This guide concludes with a brief summary of registration
requirements.
Also refer to the Department of State Development guide:
Taxing your business – Section 05: Taxation and business structures
Consult your accountant or lawyer for advice before setting up any
business structure.
Readers are advised:
• The purpose of this guide is to provide general introductory information.
• The guide does not purport to contain all the information that would be
relevant to any particular business opportunity.
• The guide is provided to interested persons on the basis that they will be
responsible for making their own assessment of that opportunity with the
assistance of the information provided.
• All figures contained in the guide should be regarded as estimates only based
on general samples and may be subject to error.
• The information in the guide should not be relied upon in substitution for
professional advice and individual investigation.
• Persons interested in pursuing any particular business opportunity are
strongly advised to fully inform themselves by taking professional advice as to
the extent of their rights and obligations—particularly in relation to any
proposed investment.
• The guide is provided subject to the terms of the formal disclaimer, which
appears on the last page.
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02 How do I choose the appropriate legal
structure for my business?
Choosing an appropriate legal structure will involve consideration of a number of
factors, including:
Type of business, industry and the level of business risk involved.
Ease of operating the business.
Limiting your exposure to liability for business debts.
Flexibility should your circumstances and objectives change.
Size of the business and the number of people involved.
Taxation issues.
Simplicity and cost effectiveness.
Long-term prospects and future plans.
Your individual preference.
It is important that you obtain professional advice from your solicitor and
accountant before you make the decision—it may save a lot of heartache in
the long run.
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03 Legal forms of ownership
SOLE PROPRIETORSHIP
The owner is the sole proprietor – the person who owns and manages a
business on their own, either under a business name or their own name.
This structure is appropriate where business is small and capital investment is
minimal.
Advantages
Disadvantages
You’re the boss = total control of
business management / operation.
Unlimited liability for debts—no legal
distinction between private and
business assets.
Easy to establish.
Limited capacity to raise capital.
You keep all the profits.
You need to make all of the day-today decisions about operating the
business.
Low start-up costs.
Retaining high-calibre employees can
be difficult.
Simple to operate.
Taking holidays can be difficult.
No specific laws covering sole
proprietors - minimum legal
requirements (record-keeping and
reporting are required for taxation and
legal purposes).
Life of the business is limited.
Maximum privacy.
Taxed as a single person.
Easy to change legal structure later if
desired.
Business development is limited to
the expertise and capabilities of the
owner.
Easy to wind up / sell if desired without
requiring the consent of others.
PARTNERSHIP
It is an agreement between two, and up to 20 people, to carry on a business
together for profit, with the partners each contributing time, talent and money to
the undertaking and sharing the management responsibility. It must be a
continuing, not a one-off venture.
Partnerships may trade under a business name or under the names of the
partners.
They are appropriate where the number of persons involved is small and the
degree of risk in the venture is such that limited liability is not considered
necessary.
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03 Legal forms of ownership
WHAT IS THE LAW REGARDING PARTNERSHIPS?
The Partnership Act defines the rights and obligations of equal partners. The Act
sets out the rights and obligations of all parties. When there is a formal
agreement, partners may decide upon the distribution of capital and profits. If
there is no such agreement then the law states that all partners are equally
entitled to share the capital and profits, and must also equally bear responsibility
for, and must contribute funds to meet, the losses and debts incurred.
Advantages
Disadvantages
Two heads are better than one.
They have a life that lasts only as long
as the original partners agree to trade
together.
Easy to establish.
Liability of the partners for the debts of
the business is unlimited.
Low start-up costs.
Each partner is ‘jointly and severally’
liable for the partnership’s debts, that
is, each partner is liable for their share
of the partnership debts as well as
being liable for all the debts.
More capital is available for injection
into the business.
Risk of disagreements and friction
among partners and management.
Greater borrowing capacity.
Each partner is an agent of the
partnership and is liable for actions by
other partners.
High-calibre employees can be made
partners.
Transfer of ownership is complicated
and taking on a new partner requires
the consent of all parties.
Opportunity for income splitting, an
advantage of particular importance due
to resultant tax savings.
If partners join or leave, you will
probably have to value all the
partnership assets and this can be
costly.
Privacy of partners’ business affairs.
Death and bankruptcy dissolves a
partnership. If the venture is to
continue it must be re-formed.
Limited external regulation (Partnership
Act 1891).
Easy to change legal structure later.
A wider pool of expertise is available
and it is possible to divide the business
operation by specialist roles.
Partners can decide on how the control
of the business and division of profits is
to be shared under formal agreements,
which can also provide for future or
unforeseeable difficulties.
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03 Legal forms of ownership
HOW IS A PARTNERSHIP AGREEMENT REACHED?
Partnership agreements should ideally be put in writing to reflect the interests of
all concerned, and the nature of the business. It is possible to have a verbal or
even an implied partnership agreement but they can be problematic. A well
thought out agreement will protect all partners and will set out the rules of
conduct for future events and how problems will be settled. It will become the set
of rules by which the business is to be conducted and should be agreed between
all partners before the business is started.
An agreement should set out:
• Names and addresses of the partners.
• Nature of the business.
• Duration of the Partnership.
• Business name.
• Business address.
• Capital required for the business.
• Capital contributions of each partner.
• Distribution of net profits.
• Provision for Partnership drawings (income).
• Authority of partners in making decisions or signing financial and legal
documents.
• The way in which the business is to be conducted and controlled.
• A mediation process in case of disputes.
• Procedures to be followed in the event of the:
o
Bankruptcy, death or retirement of a partner.
o
Admission of a new partner.
o
Dissolution of the Partnership.
o
Sale or closure of the business.
HOW DO YOU CHOOSE A PARTNER?
You should choose your intended partners very carefully before going into
business. To make a wise decision you will need to think about what the person
can contribute in terms of capital and expertise. Family and friends do not
necessarily make the best partners if they cannot contribute positively to the
operation of the business.
WHAT DO YOU NEED TO KNOW BEFORE MAKING A PARTNERSHIP
DECISION?
All people considering entering into a Partnership must be made aware that:
• Partnerships and partners are viewed by law as the same thing as the
business itself.
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03 Legal forms of ownership
• All partners are personally liable for business debts and any obligations and
actions arising from business dealings.
• Undischarged bankrupts and persons of unsound mind cannot enter into a
Partnership.
• Unless otherwise provided for in the agreement:
• Each partner may take part in the management of the business.
• Each partner may enter into contracts with third parties.
• No majority of partners may expel any other partner.
• A partner cannot sell a personal share of the business unless other partners
agree.
• A partner cannot transfer ownership between partners or a third party without
the agreement of the other partners.
• A new partner can only be brought in if all other partners agree.
• A partner who retires from the business is still liable for debts incurred before
the retirement.
• New partners are not liable for debts incurred before they entered the
business.
• Death or bankruptcy of a partner will terminate the Partnership.
• The Partnership has to be re-formed or reconstituted if a partner resigns, dies
or retires.
• Partners may terminate the Partnership at any time by giving due notice of
their intentions.
• The life of the Partnership is limited to the duration of the association of the
founding partners.
HOW IS TAXATION HANDLED IN A PARTNERSHIP?
For a business to be recognised as a Partnership by the Australian Taxation
Office (ATO) (website: www.ato.gov.au / Tel: 13 28 66) it is necessary to show
that the partners have real and effective control over the assets, liabilities and
profits of the business.
A properly drawn up Partnership agreement can assist in establishing this claim.
An application for a Partnership Tax File Number is required and an annual
taxation return must be filed. The Partnership business is not taxed separately
from the partners themselves. Each partner must pay tax on all income, including
the share of the Partnership profit. Partners cannot treat income from the
business as salary or wages. Partners may have the right to offset Partnership
losses against other income.
Family members may benefit from a partnership by spreading the income over
two or more family members, to minimise the impact of taxation – but remember
all members must be active partners in the business.
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03 Legal forms of ownership
WHAT ABOUT CHILDREN IN THE FAMILY BUSINESS?
The ATO may view the inclusion of children under the age of eighteen in the
family business as an attempt at income-splitting and may impose penalty rates
on any income shared with them. If your business is to include your children then
you should seek the advice of an accountant or business adviser to avoid
unwanted taxation penalty situations.
There are also legal considerations regarding the capacity of children to enter
into contracts in their own right which are personally binding. If someone under
the age of eighteen enters into an ill-considered contract then the results could
become binding upon the partnership with no personal liability imposed on the
partner who is under 18. Third parties might also be unwilling to enter into
agreements with Partnerships that include children.
PROPRIETARY COMPANY
A proprietary company is set up under a formal legal agreement and gives the
company a separate identity (legal entity) from the people who own and manage
the business. By law the company is considered to be a person in its own right
with the legal and financial obligations that a person might have. It is owed a duty
of care by the people who operate the business.
The laws governing the setting up of such a company are set out in the
Corporations Law, and the financial dealings of the company are monitored
through the Australian Securities and Investments Commission (ASIC)
(website: www.asic.gov.au / Tel: 1300 300 630). There must be systematic
recording of the company’s financial transactions.
WHO CAN FORM A COMPANY?
Companies can be formed by one or more people who must be over the age of
18. People who are undischarged bankrupts or have been convicted of any
offences relating to the formation, management or fraudulent operation of any
company, are barred from forming a company. People who have committed any
breaches of corporate law should see a legal advisor before considering whether
to form or enter into a company. There are serious penalties for ignoring these
rules.
WHAT ARE THE MINIMUM REQUIREMENTS FOR FORMING A
COMPANY?
A company must have at least one shareholder and it may have more than one
director. Shareholders may also be directors and company secretaries.
There are residency laws that must be met, with at least one director normally
resident in Australia.
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03 Legal forms of ownership
Advantages
Disadvantages
Your liability for the company’s debts is
limited (this protection is often
destroyed by creditors, including
financiers, calling for guarantees from
directors).
Formation of a company requires legal
and accounting advice.
The personal assets of shareholders
are not threatened by company losses
or debts except where shareholders are
guarantors for the performance of the
company.
More complicated and expensive to
establish and maintain.
Ease of transferring ownership by
selling shares to another party.
Greater regulation by government
under the Corporations Act and
through ASIC e.g. requirements to
provide annual and other returns.
Shareholders (often family members)
can be employed by the company.
Public scrutiny of your financial affairs Prosecution and fines for failing to
comply with the Corporations Law.
A company is managed by appointed
directors, secretaries and managers –
all of whom have set responsibilities.
Scrutiny of directors’ activities by
ASIC.
Taxation rates are more favourable
(consult with your advisers as to
whether this provides an overall
benefit).
Costly to wind up.
Access to a wider capital and skills
base.
Transfer of company ownership may be
a simple process and the company
does not have to be wound up upon the
disability, death or retirement of anyone
of the persons involved.
WHAT ARE THE RESPONSIBILITIES OF COMPANY DIRECTORS?
The responsibilities are set down in law and it is common for company rules to
give set duties to specific individuals.
Directors must ensure that all actions of the company are properly recorded, hold
an annual general meeting that includes the shareholders, and lodge various
forms with ASIC.
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03 Legal forms of ownership
The directors may also exercise management functions in relation to day-to-day
operations such as:
• Buying or leasing trading premises.
• Arranging finance.
• Ordering goods and services.
• Paying suppliers.
• Operating service and retail outlets.
• Keeping financial records.
• Preparing financial reports and tax returns.
WHAT CONDUCT IS EXPECTED OF A DIRECTOR?
The law sets down rules of ethical behaviour for directors and expects honesty
and a duty of care for the benefit of the company.
Dishonest conduct covers more than theft or fraud. It may be that any decision of
a director which is not in the overall best interests of the company might be
considered dishonest under law. It is wise for directors to make sure that they are
fully informed of the possible effect of any decision made before they consent to
it. In this way they are protecting themselves and their company.
To do this effectively they should:
• Keep themselves informed of company activities.
• Take an active part in board meetings.
• Ask questions about management decisions.
• Look into any new proposals carefully.
• Seek outside professional advice in order to make considered judgements on
any matter before the board.
All information about the company and its dealings should be treated as highly
confidential and not used in any way which could damage the company. A
director also has a responsibility to ensure that the company does not incur
further debts by trading when insolvent.
WHAT ARE THE SIGNS OF A COMPANY IN FINANCIAL TROUBLE?
If you are considering entering a company or are a director of one you should
keep alert for the danger signals. These are:
• Low operating profits or cash flow.
• Problems in paying suppliers on time
• Suppliers refusing to extend further credit.
• Problems with loan repayments or keeping to over draft limits.
• Threats of legal action by suppliers and creditors to recover money owed.
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03 Legal forms of ownership
TRUST
Is formed when a business is transferred to a trustee to hold the assets, to run
the business, distribute income to beneficiaries and observe the provisions in the
trust deed.
Often chosen where more than one family is involved in running the business.
Advantages
Disadvantages
Limited liability is possible by
appointing a corporate trustee.
More complex structure.
More privacy than a company.
Expensive to establish and maintain.
Flexibility in distributions among
beneficiaries.
Problems can be encountered when
borrowing.
Trust income is generally taxed in the
hands of individuals.
Powers of trustee are restricted by the
trust deed.
CO-OPERATIVES
A co-operative may be formed for the provision of goods or services to its
members or for the supply of goods or services to the general public. A cooperative is an entity voluntarily owned and controlled by the people for whom it
was established and who use its services.
There are two types of co-operatives under the Co-operatives Act 1997 (the Act):
Trading co-operatives— have a share capital and may distribute profits.
Non-trading co-operatives— do not distribute profits or surpluses to members.
They may or may not have share capital.
WHO CAN FORM A CO-OPERATIVE?
A co-operative is a body corporate. It can be formed by at least five people or two
corporations and is registered under the Act.
WHAT CAN A CO-OPERATIVE DO FOR ITS MEMBERS?
A registered co-operative’s functions are included in its rules as activities. Those
activities reflect the co-operative’s involvement in areas such as primary
production, manufacturing, trading, community or social activity.
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03 Legal forms of ownership
TYPES OF CO-OPERATIVES
Co-operatives provide a wide range of social and economic activities, including:
• Agricultural
• Retailing
• Marketing
• Transport
• Food
• Livestock/bloodstock
• Cultural.
WHAT ARE THE ADVANTAGES OF CO-OPERATION?
Services
The co-operative form of enterprise is specially suited for meeting the collective
needs of members, whether they are producers, consumers or workers.
Democratic control
Each member has an equal say in co-operative matters. That is, one member
one vote.
Economies of scale
A co-operative can mean increased buying/selling power and reduced
processing/handling cost.
HOW DO CO-OPERATIVES DIFFER FROM OTHER BUSINESS
STRUCTURES?
Generally, seven principles of co-operation apply to the operation and
establishment of co-operatives. These are:
1. Voluntary and Open Membership: open to all willing to accept the
responsibilities of membership.
2. Democratic Member Control: active co-operative members each have one
vote.
3. Member Economic Participation: ensures that the operations of the cooperative are focused on servicing the members’ needs. In a trading cooperative, surpluses are normally distributed to members in proportion to
business done with the co-operative.
4. Autonomy and Independence: co-operatives are autonomous, self-help
organisations controlled by their members.
5. Education, Training and Information: co-operatives provide education and
training for their members, elected representatives, managers, and employees
so they can contribute effectively to the development of their co-operative.
6. Co-operation between co-operatives: at a local, state, national and
international level to enhance the co-operative movement.
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03 Legal forms of ownership
7. Concern for Community: while focusing on member needs, co-operatives
work for the sustainable.
CONSUMER AND BUSINESS SERVICES ROLE
Consumer and Business Services (CBS) (website: www.cbs.sa.gov.au /
Tel: 131 882 ) is the South Australian Government agency responsible for
administering the Act. Its functions include:
• Exercising various discretions under the Act, such as exemptions,
registrations and approvals.
• Maintaining a register of co-operatives and the public file, which includes the
registered rules and alterations there to, special resolutions, audited accounts,
details of directors and officers, and charges given over assets of the cooperative.
• Provision of search facilities for people wishing to search and/or obtain copies
of available documents.
COPIES OF THE CO-OPERATIVES ACT 1997 AND REGULATIONS
It is recommended that people considering forming a co-operative obtain a free
copy of the Act and Regulations from the South Australian Government
Legislation website (www.legislation.sa.gov.au) or from
Service SA Government Legislation Outlet (www.shop.service.sa.gov.au ).
INCORPORATION OF AN ASSOCIATION
Incorporation is a simple and inexpensive means of establishing a legal entity. It
is an alternative to forming, for example, a company limited by guarantee or a cooperative, and is particularly suitable for small, community-based groups. Except
as may be provided in the rules of the association, incorporation provides a
limited liability for members.
An association that has trading or profit-making as its purpose is not able to
incorporate under the Associations Incorporation Act 1985.
INCORPORATED ASSOCIATIONS:
• Have their own “corporate identity”.
• Can sue and be sued.
• Can enter into contracts.
• Mostly appoint committees to run affairs.
• Documents lodged are kept on a public register.
It is recommended if you are considering forming a co-operative you obtain a free
copy of the Act and Regulations from the South Australian Government
Legislation website (www.legislation.sa.gov.au) or from Service SA
Government Legislation Outlet (www.shop.service.sa.gov.au).
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03 Legal forms of ownership
Please Note:
If you do not have a set of rules (constitution) you may be able to obtain
assistance from a similar organisation already incorporated under the Act.
Section 23A of the Act deals with the minimum contents of rules.
FORMS
If you are applying for Incorporation of an Association you will need to submit
both Form 1 (Application for Incorporation) and Form 2 (Statutory Declaration to
accompany Application for Incorporation). You download them from the
Consumer
and
Business
Services
(CBS)
website:
www.cbs.sa.gov.au/wcm/?s=incorporation
HOW TO INCORPORATE
Making an Application for Incorporation - Three easy steps:
Step 1 - Meeting of Members
1. Authorise a person to make the application for incorporation. The role of this
person is to complete and sign the necessary forms and to lodge them with
CBS.
2. Obtain the consent of the person who will be the association’s first public
officer. (A separate pamphlet outlining the role of a public officer is available
from CBS). The person who consents to be the first public officer can also be
the person authorised to make the application if that is what the meeting
wishes.
3. Approve the name of the association. The name selected should reflect the
association’s nature, objects and purposes. If there is a problem with the
name selected the matter will be taken up with the lodging party.
Approve the rules. The proposed rules should be considered as to whether they
will cater for the activities of the particular association and comply with section
23A of the Act.
Step 2 - Complete the Forms
1. Forms 1 and 2 need to be completed. Every item must be completed. The
name of the association must appear exactly the same on both forms and as it
appears in the names clause of the rules.
2. Item 3 of Form 1 seeks information about the purpose for which the
association is being formed. A wide range of not-for-profit associations
including sporting and religious bodies are eligible for incorporation. Section
18 of the Act sets out the eligibility criteria.
3. Form 2 must be signed and declared before a Justice of the Peace. The
endorsement set out at the foot of the form must be written or typed on the
copy of the rules and then signed by a Justice of the Peace.
4. The rules must be clearly printed or typed on single sheets of A4 size white
paper.
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03 Legal forms of ownership
Step 3 - Lodge Forms & Rules
1. The fee payable is set out on Form 1. It may alter in July each year.
2. Check that the forms are fully completed and that the other matters discussed
in Step 2 have been met. The proposed rules and checklist of proposed rules
must accompany Forms 1 and if the documents are deficient they will be
returned to the lodging party.
3. Normally you can expect to receive the Certificate of Incorporation in about 14
days.
4. The name of the association must be used on all documents and
correspondence and on its common seal exactly as it appears on the
Certificate of Incorporation, except that “Incorporated” can be abbreviated as
“Inc.”
5. You can obtain a common seal from a rubber stamp maker listed in the Yellow
Pages. (This is used when entering into agreements).
LEGAL ADVICE AND ASSISTANCE
Some associations may wish to consider obtaining legal advice. A legal advisor
will be able to assist in preparing rules and completing the forms and if you have
doubt as to whether you can determine your organisation’s income tax status or
other tax obligations he or she will be able to provide you with advice on those
issues.
There may also be Goods and Services Tax (GST) obligations for an
incorporated association and advice on this should be sought.
If it is likely that, in the first or subsequent years of operation of the incorporated
association, the gross receipts of the association exceed $200,000, special
provisions apply to account and audits. You should seek advice.
SUMMARY
• Obtain a copy of the Associations Incorporation Act 1985 and Regulations
plus an example set of rules.
• At a meeting of members authorise a person to make the application for
incorporation and appoint a public officer.
• Obtain Form 1 and Form 2 and a Checklist of Rules.
• Lodge the completed and signed forms along with a copy of your set of rules
and checklist of rules at Consumer and Business Services (CBS) (website:
www.cbs.sa.gov.au / Tel: 131 882).
• Lodgement fees are payable.
• You may wish to consider insurance.
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04 Registering a business name
Any business entity can choose to trade under a business name. In South
Australia, every business name must be registered under the Business Names
Act 1996. The choice of name is entirely up to you, but the name chosen must
not be misleading or offensive, be already registered, or be a name that is likely
to be confused with a name already registered.
Who must register? In broad terms, the Act requires that unless you carry on
business under your own name (or joint names of yourself and partners), the
name of the business must be registered. Registration is not required where the
business name consists of the surname(s) of the person(s) conducting the
business, with first names or initials or a combination of these, provided there is
no addition of any other word or words.
A business name is important because it can help to create an image for your
business, be easily remembered by customers and potential customers, tell the
marketplace what the business is all about, give the business respectability and
highlight points of difference over other businesses.
Business names are administered throughout Australia by the Australian
Securities and Investment Commission (ASIC) (website: www.asic.gov.au /
Tel: 1300 300 630).
Your decision on an appropriate business name should be made carefully. Like
most things in business, it is best to approach the task in a systematic manner by
establishing a simple set of criteria to help you decide whether or not a proposed
name is appropriate.
Your checklist could look like this:
CHECKPOINT
Y
N
NOTES
Is the name easy to read?
Is it easy to remember?
Does the name lend itself to
visual media?
Is it easy to say? Does it roll off
the tongue when answering the
telephone?
Does the name convey to
potential customers the scope
and nature of your business?
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04 Registering a business name
CHECKPOINT…CONTINUED
Y
N
NOTES
Is it likely to be durable through
changing climates of opinion?
Does it portray a symbol of
quality, service and reliability?
Is the name likely to be too
restrictive (e.g. geographic
names tying the business to a
particular region) if services or
the direction of the business
change at a later date?
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05 Summary
1
Choice of business structure should be made after
consideration of many variables, including business
risk, management issues, the impact of taxation,
continuity of the business entity, influence of the law,
establishment and ongoing costs and personal factors
relating to individual owners.
2
Make your decision on choice of business structure
after seeking professional advice.
3
Review your business structure regularly as the
business grows and legislative changes occur. There
is no one “right” business structure; your choice will
depend on your particular circumstances.
4
If you wish to trade under a name other than your own
and that of any co-proprietor, it is required by law that
the name be registered.
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06 Contacts
Australian Securities & Investments Commission (ASIC)
www.asic.gov.au / Tel: 1300 300 630
Australia’s corporate, markets and financial services regulator. Register your
company or business name.
Australian Taxation Office (ATO)
www.ato.gov.au / Tel: 13 28 66
Provides taxation information and offers a Small Business Assistance Program
for Australian businesses.
Consumer and Business Services (CBS)
www.cbs.sa.gov.au / Tel: 131 882
Assists small businesses with consumer affairs, business and occupational
services, tenancies (including lease and landlord issues), education and
information services.
Service SA Government Legislation Outlet
www.shop.service.sa.gov.au
South Australian Government Legislation website
www.legislation.sa.gov.au
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07 Notes
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Page 21 of 22
Department of State Development
GPO Box 320
Adelaide SA 5001
T: +61 8 8226 3821
E: DSDSmallBusinessStrategy@sa.gov.au
W: www.statedevelopment.sa.gov.au/smallbusiness
DISCLAIMER
The Government of South Australia gives no warranty and makes no
representation, whether express or implied, as to the accuracy of information
contained within this guide or the suitability of the information for any purpose.
Any use of the information contained in this guide (whether authorised or not) is
at the users’ sole risk and the Government of South Australia disclaims
responsibility for any loss or damage incurred as a result of such use. The
information is provided solely on the basis that users of the information will make
their own assessment of the accuracy of the information and users are advised to
verify all information contained within this document. Any information about the
law in Australia or South Australia is provided as general information only and is
not legal advice. This guide is a starting point only and is not a substitute for legal
or professional advice. While the Department has attempted to ensure the
information is accurate at the time of publishing, no responsibility will be
accepted for any errors or omissions and the Government of South Australia will
not be liable for any loss or damage incurred by any person as a consequence of
any use, reference or reliance on this information. Any such use, reference or
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Produced by the South Australian Government
© March 2015
Choosing an ownership structure for your business
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