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Written by David McLaughlin on July 23, 2009

Business Structures

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When operating in the creative industries there are many different ways that you can legally structure your business or activities to most efficiently provide for your particular tax or general legal situation.  Being well informed of the different options so that you can make the best choice going forward is vital.  To assist with this, in this Fact Sheet the specific questions we address are:

•    What is a business structure?
•    Why do I need to worry about business structures?
•    What are the different ways I can structure my business?
•    What is a sole trader?
•    If I’m a sole trader do I have to use my own name for the business?
•    If I’m working for someone else am I still a sole trader?
•    Why is it important to establish whether I’m an employee or a sole trader?
•    What are the advantages and disadvantages of being a sole trader?
•    How much administration is required in being a sole trader?
•    What is a partnership?
•    Do we have to agree to form a partnership?
•    How does the Partnership Act affect us?
•    Do we need a written Partnership Agreement?
•    What are the advantages and disadvantages of a partnership structure?
•    How much administration is required in a partnership structure?
•    What is a limited liability company?
•    How is a company different to other structures?
•    How do we agree how our company is to be run?
•    What is a Shareholders Agreement?
•    If we are a band is there anything we should specifically include in our Shareholders Agreement?
•    How much administration is required in a company structure?
•    What are the advantages and disadvantages of a company structure?
•    What is a “non-profit” organisation?
•    Why adopt a non-profit legal structure?
•    Are there different types of non-profit organisations?
•    What is a Charitable Trust?
•    What makes a trust a “Charitable Trust”?
•    What is the benefit of having “Charitable” status?
•    Can only trusts have charitable status?
•    How do I go about arranging for charitable status?
•    How relevant is a non-profit type structure to my business?

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