What's the difference between a company registration, an ABN and a business name?
These are three different registrations that serve different purposes:
Company Registration
- Registers a company with ASIC and creates a separate legal entity (for example, ABC Pty Ltd)
- Your company will receive an ACN (Australian Company Number)
- This is the registration required if you want to operate through a company structure
ABN (Australian Business Number)
- A unique identifier issued by the Australian Government for tax and business purposes
- Businesses often need an ABN to invoice customers, register for GST and interact with government agencies
- A company can have an ABN, but registering a company does not automatically give you one unless you apply for it
Business Name
- A business name is the name you trade under
- Registering a business name does not create a separate legal entity
- For example, a company called ABC Holdings Pty Ltd may trade under the business name ABC Consulting
Depending on your circumstances, you may need all three. Many businesses choose to register a company, apply for an ABN and register a business name as part of setting up their operations.