Whenever someone is starting a new business, one of the most common questions that they will ask their commercial lawyer is what legal business structure they should use.
According to commercial lawyers, the choice is extremely important as it has implications for many aspects of the business, such as tax liabilities, the costs of running the business, and legal protection of the business’s assets.
In Australia, four main legal business structures can be used, and they are sole trader, a partnership, a company, and a trust. Read on, and we will explain in more detail what each of them is, and the ease, or otherwise, of setting them up.