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Now worries,
Answers below in Blue

InspiredTechs, post: 147164 wrote:
Thanks for the detailed post Darryl
So i possibly may have set it up in reverse to what it should be?

Ok as for the questions

-individuals who need to have control of the business – Just me for now
-individuals who need to receive a financial benefit form the business – just me for now
-are all of the above related – yes
This tends to lend itself towards a discretionary trust with a corporate trustee
-do you intend bringing in non-related investors/owners into the business in the structure – Not currently but it potentially could down the track
You could then use the established be a partner in a restructured new one, properly structured for tax purposes, stamp duty etc. Fo example, possibly an entity that holds all the intellectual property and other valuables but that grants a license to use them for specified periods of time, thus at the expiration of one of the licence periods there can be a change without taxation implications, other options also.
-The state you want to establish the business in – NSW
-do you or will you at some stage lease premises – yes at some stage
-do you or at some stage will you have employees – yes
-do you or at any stage will you have creditors – unsure
-do you or will you service a large number of customers or will it be limited to a few – it could end up being a couple hundred customers
-what sort of services does the business provide and is it reliant on you (personal services income rules may apply) – Essentially being an IT managed service provider and IT services/support.
For now it is reliant on me, but in the next couple of years employees will be doing most.

So it looks like personal services income rules should be ok

It depends on your risk profile from here on in, I am a huge fan of a IP/Goodwill type entity that licenses to a trading entity (must be properly structured arrangement to ensure not alter ego) But a discretionary trust and corptrustee work for many in this situation, or you could look at a unit trust with the units owned by the discretionary trust (NSW is abolishing stamp duty on transfer of units in private trusts on July 1 this year) if you think the likelihood of needing or wanting to bring in an outside investor is high

I have attached a couple of info sheets on unit trusts and discretionary trusts

Thanks for your help :)