Home – New Forums Starting your journey Should I register a new ABN?

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  • #987567
    Lambros
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    Hi,

    I currently operate as a sole trader with an ABN in the field of web design and development. I am frequently contracted by other companies to complete work for them (e.g. their workload is too high for their current employees, etc). I also operate under my own full name (not a business name).

    I would like to register a business name, and as such need an ABN to link this to. Do I need a new ABN? I would like my old ABN to continue operating (as I would like old clients to continue working with me as an individual). However, when completing work for new companies, I would like to operate under a business name (and these two entities — my personal name with ABN, and my business name, to be completely separate…such that in reality, those who seek my personal services do not need to have any form of involvement, either direct or indirect, with my business).

    I would like to acquire this business name also as a means of hiring other individuals, instead of operating in the means I have been to this point…although I don’t think this makes a difference…does it?

    That said, should I register a new ABN? If so, and I am NOT registering a company, should the new ABN be registered as a sole trader, or as a company? I presume sole trader as I am not registering a company, but just want to be sure as I am a little in the dark.

    Many thanks!

    #1163374
    Past-Member
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    A sole trader can have only one ABN as it’s connected to you and your tax number. However, you can have many trading names which are all connected to the same ABN. As a sole trader ALL your income from all your trading names is lumped together at tax time. GST may also apply if all your business turnover totals $75K or more. Cheers.

    PS if you are going to hire get the info pack from the ATO as you will have to register. And a chat with your accountant would be a good idea.

    #1163375
    LindaS
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    Like Karen said, if you will be operating as a sole trader you can only have one ABN as this is attached to your tax file number.

    If you plan to register as anything other than a sole trader ie partnership or company (which you have said you will not be doing) you will need to apply for an ABN for these types of entities.

    You can register multiple business names as a sole trader on the one ABN – application is now through ASIC which is a bit cheaper than the previous registration (through office of fair trading) and means you can also operate interstate without the need to register your Business Name in each state.

    Linda

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