Does my company need an ABN and Business Name?

Does my company need an ABN?

An ABN isn’t compulsory if the company is earning under $75,000 per annum, but it will simplify your dealings with the ATO and other businesses. Without an ABN, businesses buying your goods and services will have to withhold 49% of your purchase price and pay this directly to the ATO.

Your ACN identifies your company, however a company ABN identifies you to other businesses, the ATO and various government agencies. Your ABN is based on your ACN, with an additional two digits.

Does my company need a Business Name?

You will only need to register a business name if you plan to trade under a name different to the company name you registered in your application.

For example, if your company name is Smith Plumbing Pty Ltd and you plan to trade and advertise as Smith Plumbing Pty Ltd, you do not need a business name. However, if you wish to trade or advertise as Aussie Plumbing Services or any other name, you will need to register a business name.