Call Irving Law, Business Lawyers, on (08) 6460-5460
Do You Want To Start A New Company In Australia?
We assist many business owner clients who are starting up new companies. For example, we have worked with the owners of international businesses to set up an Australian subsidiary, and also with the owners of new startups.
In Australia, the company registration process has been automated by many reliable and cost-effective online service providers. Unless you need a special type of company, e.g. for non-profit purposes, you can probably use one of these services to register your new company quickly and easily. But if you need anything extra, you may need professional legal advice.
Online service providers, while fast and cheap, produce standard documents by definition – specifically, company constitutions – that are effective in most situations but may need adjustment for your unique situation. It’s like buying a coat or jacket online. Maybe the sleeves are too long? You can take the coat to a tailor or an alteration service to have the sleeves taken up. We can work with you to tailor your documents to fit your precise needs.
Checking And Editing A Company’s Constitution.
Here’s one example of a service we offer to Australian company directors. The standard company constitutions produced by most Australian online company incorporation services include many default settings, such as the quorum for shareholders and directors meetings, and the minimum number of votes needed to pass resolutions. (The quorum is the number of people needed to hold a valid meeting.)
Let’s say your company has three shareholders, all of whom are meant to be equal “business partners”, but the minimum number of votes needed to pass a resolution that is set by your constitution is 51% of the votes. See the problem? Two business partners can always gang up against the third one. If you don’t want that to happen, then you have to edit the constitution, and/or create a shareholders agreement.
In our experience, most people who register new companies never read their company constitutions. Not even once. Why? Because the constitution is a long, legal document densely packed with concepts and unusual language. We can review your company constitution and help you make changes to make it more suitable. Don’t discover there is a problem when a dispute erupts with your business partners, maybe many years after you have registered the company.
If you would like to discuss your business legal issues with a lawyer, contact us.
Do You Need A Shareholders Agreement for Your Company?
If you are a company director and/or shareholder, you may need ongoing advice about a range of things related to your company, as new issues arise. That’s why developing a good relationship with a friendly lawyer who can assist you with these issues from time to time is a good idea. Do you have any questions about your existing company, or about starting a new company? We invite you to call us.