Australia is generally accessible for South African founders and businesses, but “company registration” is only one part of becoming operational. The outcomes that matter signing contracts smoothly, opening accounts, hiring locally, charging GST correctly, and staying compliant depend on a few decisions you need to make before you lodge anything with ASIC.
This guide walks through the two standard entry routes, the practical prerequisites that often delay overseas founders, a step-by-step path to setting up a Pty Ltd, and the tax and operational registrations that turn a registered entity into a functioning Australian business.
Overview:
- You can enter Australia either by incorporating a Pty Ltd or registering a South African company as a foreign company with ASIC.
- A Pty Ltd must have at least one director who ordinarily resides in Australia.
- Director IDs must be obtained before appointment; ABRS allows applications up to 12 months in advance.
- ASIC requires a physical registered office address in Australia (not a PO Box).
- ABN entitlement is not automatic; GST and PAYG registrations must align to real activity and timing rules.
- Cross-border profit flows (royalties, interest, dividends) should be planned early with the treaty context in mind.
Who this guide is for:
This article is relevant if you are based in South Africa and you want to:
- incorporate an Australian subsidiary (typically a proprietary company limited by shares, “Pty Ltd”), or
- register your existing South African company as a foreign company (branch-style) to do business in Australia.
It is written for founders, finance teams, and operators who want a clear process and a realistic timeline, not only a legal overview.
Entity Options for South Africa to Australia Expansion
Before you begin the registration process, it is important to decide how you want to operate in Australia: either by establishing a new Australian subsidiary or by registering your existing South African company to carry on business locally. Both routes can be compliant, but they create different requirements for governance, local presence, and ongoing administration, so selecting the appropriate structure early helps avoid avoidable rework later.
Route 1: Incorporate an Australian Pty Ltd (subsidiary model)
You create a new Australian company registered with ASIC, typically via the Australian Government’s Business Registration Service (BRS). ASIC explains that you can register a company and that you must provide both a registered office and a principal place of business address. The BRS process is designed to be completed online quickly, and confirmation is typically received within 2 business days (timing varies).
When it makes the most sense: Australia is a priority market, you expect local hiring, customers want an Australian contracting entity, or you want a clean operational separation from the South African parent.
Route 2: Register the South African company as a foreign company (branch-style)
ASIC states that a company registered outside Australia is a foreign company and that foreign companies must be registered with ASIC to conduct business in Australia (i.e., they must obtain an ARBN).
This route can work for a limited market entry where you want the South African entity to remain the contracting party, but it introduces ongoing local operational requirements (particularly around a registered office).
When it fits best: you are testing Australia on a narrow scope and can support the foreign company’s obligations without creating operational strain.
How to choose between Pty Ltd and foreign company registration?
This choice affects contracting, compliance workload, and how easily you can scale in Australia. Use the decision points below to select the structure that matches how you will operate.
| Decision factor | Pty Ltd (subsidiary) tends to fit when… | Foreign company (branch-style) tends to fit when… |
| Contracting and procurement | Australian customers prefer an Australian entity on contracts/invoices | The SA entity must remain the contracting party initially |
| Hiring | You intend to hire locally under an Australian employing entity | You do not expect local hiring soon |
| Governance feasibility | You can satisfy local director requirements | You cannot satisfy local director requirements quickly |
| Ongoing admin | You want a standard Australian company compliance rhythm | You can support the foreign company’s registered office obligations |
| Long-term footprint | Australia is a strategic market | You are running a pilot or have a limited onshore presence |
The most common structural driver for overseas founders is the director requirement for a Pty Ltd, explained next.
Pre-Lodgement Requirements for South Africa-Based Founders
Before you lodge any registration with ASIC, confirm these requirements are in place. They are the most common causes of delays for South Africa-based founders because they involve local governance, identity prerequisites, and address compliance items that cannot be corrected immediately once the application is underway.
1) Director residency requirement for a Pty Ltd
Under section 201A of the Corporations Act, a proprietary company must have at least one director, and that director must ordinarily reside in Australia.
If your leadership team is fully South Africa-based, you need a realistic plan for meeting this requirement or you should consider the foreign company route.
2) Director ID timing (ABRS)
The Australian Business Registry Services (ABRS) states that if you are planning to become a director, you must apply for a director ID before your appointment, and you can apply up to 12 months in advance.
This is a common timing issue for overseas founders because it can become a hard dependency late in the incorporation process.
3) Address compliance
ASIC’s guidance is explicit: a registered office must be a physical street address in Australia and cannot be a PO Box. ASIC sends official notices and letters to this address.
ASIC also requires a principal place of business address, which is your main business location, and it must be a physical street address in Australia.
4) Foreign company registered office obligations
Foreign companies must maintain a registered office in Australia, and a representative must be present whenever the office is open. ASIC states the office must be open every business day from at least 10am – 12pm and 2pm – 4pm. If the address or office hours change, ASIC requires notification within 28 days.
Step-by-step process to Register a Pty Ltd in Australia from South Africa
The sequence below prioritises the dependencies that typically cause rework.
Step 1: Confirm the structure and ownership model
Decide whether the Australian company will be:
- a subsidiary owned by the South African parent company, or
- held by founders/shareholders directly.
This will affect bank onboarding, beneficial ownership documentation, intercompany arrangements, and how you repatriate profits later (for example, dividends vs management fees vs royalties).
Step 2: Solve the resident director requirement before you prepare the lodgement
A Pty Ltd must have at least one director who ordinarily resides in Australia. If you solve this late, your registration timeline usually slips.
Common approaches include:
- appointing an Australian-resident co-founder/executive, or
- appointing an Australian-resident professional/nominee director (where appropriate), with real governance processes in place.
Step 3: Start director ID applications early
ABRS is clear that an intending director must apply before appointment and can apply up to 12 months in advance. Treat this as a prerequisite, not a post-registration formality.
Step 4: Set up compliant addresses (and document consent)
You need:
- Registered office address (physical street address, not a PO Box)
- Principal place of business (main location, physical street address)
If you are using an address you do not occupy, ensure you have proper authority/consent to use it; operationally, you also want reliable mail handling because ASIC notices go there.
Step 5: Prepare the company details for registration
In practice, you will need to finalise:
- company name (or use ACN as name, then adopt a name later)
- state/territory of registration
- director details and consents
- shareholder details and share structure
- addresses (registered office and principal place of business)
ASIC’s “register a company” guidance indicates you must provide both addresses and includes supporting information on company addresses.
Step 6: Lodge via the Business Registration Service (BRS)
ASIC explains that you can register a company and describes using the BRS for company registration and notes typical confirmation timelines. If all prerequisites are ready, this step is often the fastest part of the process.
Step 7: Register a business name (only if you will trade under a different name)
ASIC states you must register a business name if you are not trading under your own name (or, in a company context, not under the company’s legal name).
You can register through BRS or ASIC’s system.
Step 8: Put the ongoing ASIC compliance calendar in place immediately
ASIC fees are indexed. ASIC’s fee indexation page lists the annual review fee for a proprietary company as $329 (as indexed).
Even if operations are small initially, missing annual review steps can create late fees and administrative disruption.
Steps to Register a South African company as a foreign company (branch-style)
This route keeps the South African company as the legal entity, and you register it with ASIC to conduct business in Australia.
Step 1: Confirm foreign company registration applies
ASIC states foreign companies must be registered with ASIC to conduct business in Australia and receive an ARBN.
Step 2: Prepare the information and documents required for registration
ASIC’s foreign company registration guidance outlines that you are registering a company that is already registered outside Australia. In practice, you should expect to provide evidence of the company’s existence and details of how it will operate in Australia.
Step 3: Put a compliant Australian registered office in place
ASIC requires foreign companies to maintain a registered office in Australia and specifies minimum office hours and the requirement for a company representative to be present when the office is open. This is one of the largest operational differences between the branch route and a Pty Ltd setup.
Step 4: Plan for ongoing notifications and changes
ASIC requires foreign companies to notify changes to their registered office address or hours within 7 days.
If you do not have internal ownership of these updates, this route can turn out to be higher-effort than expected.
Post-incorporation setup: ABN, GST, and PAYG withholding
Once you have an Australian entity (or an ARBN for a foreign company), you need tax registrations that reflect your actual activities.
– ABN entitlement is not automatic
The Australian Business Register (ABR) states, “Not everyone is entitled to an ABN” and warns you may face prosecution or criminal charges if you apply for an ABN, register for GST, and claim GST refunds when you are not entitled.
For overseas founders, the practical implication is that your ABN application should align with evidence of genuine business activity and steps to commence.
– GST registration and timing
The ATO states you need to register for GST within 21 days of your GST turnover exceeding the relevant threshold.
You should register if you expect GST turnover to reach $75,000 in the first year. If you are below the threshold, you may choose to register, but doing so imposes ongoing reporting obligations.
– PAYG withholding registration (for hiring and certain payments)
The ATO explains you must register for PAYG withholding if you have to withhold tax from payments, and you must register before you make the first payment you withhold tax from.
If you plan to hire staff in Australia, treat PAYG withholding setup as part of your hiring readiness, not something to address after payroll starts.
Tax Considerations for South African Businesses Operating in Australia
Company registration is corporate law; cross-border operations quickly become tax and payment reality. The right approach depends on your facts, but the main planning categories are predictable.
– Withholding tax fundamentals (dividends, interest, royalties)
The ATO provides guidance on foreign-resident withholding tax and lists general withholding rates for interest, unfranked dividends, and royalties, noting that some agreements provide exemptions or reduced rates in certain circumstances.
If your Australian entity will pay royalties to a South African IP holder, interest on an intercompany loan, or dividends upstream, you should plan the flow and documentation in advance rather than “retrofit” later.
– Treaty context: Australia–South Africa tax treaty
Australia’s Treasury explains that Australia’s income tax treaties are given the force of law by the International Tax Agreements Act 1953. South Africa’s government also publishes treaty-related materials for the agreement between South Africa and Australia (including protocols).
Additionally, SARS provides a synthesised text showing application of the Australia–South Africa agreement as modified by the Multilateral Instrument (MLI), with application dates noted in the document.
Practical implication: treaty outcomes can affect withholding and double-tax results, but the correct treatment depends on residency, permanent establishment risk, and the nature of income. This is one area where early tax advice is usually lower-cost than later restructuring.
– Intercompany transactions: plan before you start invoicing
If money will move between Australia and South Africa (management fees, royalties, intercompany loans), establish:
- a documented basis for charges (what services/IP are provided)
- a consistent pricing rationale
- clear agreements and invoice descriptions
- a record-keeping process that matches commercial reality
This planning reduces the risk of inconsistent reporting and avoidable friction later.
Hiring in Australia from South Africa: operational setup and immigration separation
Hiring tends to expose gaps in payroll, compliance ownership, and immigration assumptions.
Hiring compliance applies regardless of nationality
Australia’s Fair Work Ombudsman notes that workplace laws generally apply equally to all workers employed in Australia, including visa holders and migrant workers, who have the same entitlements and protections as other employees.
The Department of Home Affairs also highlights work rights protections and reinforces that workplace rights apply regardless of visa situation.
Company registration is not a visa
The Australian government has a dedicated guide for starting a business in Australia as a foreigner and points to the Department of Home Affairs as the issuing authority for visas. If founders plan to relocate or sponsor staff, immigration planning runs in parallel with company setup; do not treat it as an output of the registration process.
Registration timeline: typical turnarounds and common delays
Registering through the BRS is quick, and you typically receive confirmation within 2 business days. In practice, overseas founders experience delays more often due to prerequisites than to the ASIC lodgement itself.
What can move quickly
- Completing the BRS lodgement once details are finalised
- Registering a business name once an ABN is in place (if needed)
What usually takes time
- Solving the resident director requirement for a Pty Ltd
- Completing director ID requirements before appointment
- Securing compliant addresses and operational mail handling
- Ensuring ABN/GST registrations match entitlement and real activity (to avoid rework)
- If using the foreign company route, maintaining registered office hours and coverage obligations
Common pitfalls and how to avoid them
The issues below are common for South Africa-based founders because they sit at the intersection of compliance and operational realities.
1. Leaving the resident director requirement to the end
A proprietary company must have at least one director who ordinarily resides in Australia.
Avoid it: decide your resident director pathway before you commit to a launch date.
2. Director ID timing becomes a last-minute blocker
ABRS requires intending directors to apply for a director ID before appointment and allows applications up to 12 months in advance.
Avoid it: treat director ID as a prerequisite workstream.
3. Using an address that fails ASIC requirements
ASIC requires a physical street address for the registered office and states it cannot be a PO Box.
Avoid it: use a stable address with reliable mail handling and clear internal ownership.
4. Choosing foreign company registration without the operational capacity to maintain office hours
ASIC requires foreign companies’ registered offices to be open minimum hours and to have a representative present when open.
Avoid it: only choose this route if you can support ongoing coverage consistently.
5. Treating ABN/GST as “paperwork to do later”
ABR warns that not everyone is entitled to an ABN and misuse can have serious consequences. GST has timing rules once thresholds are met.
Avoid it: align registrations to real activity and build a compliance calendar early.
Registration checklist for South Africa-based founders
Use this checklist to reduce back-and-forth and keep the process aligned to operational readiness.
Structure and governance
- Choose: Pty Ltd vs foreign company registration
- If Pty Ltd: confirm at least one director ordinarily resides in Australia
- Start director ID applications before appointment
Addresses
- Registered office: physical street address, not PO Box
- Principal place of business: physical street address
- If foreign company: confirm registered office hour coverage and representative presence
Tax readiness
- Confirm ABN entitlement and prepare evidence of activity
- Decide GST approach based on turnover expectations and registration timing rules
- Plan PAYG withholding registration before payments subject to withholding
Ongoing compliance
- Budget for ASIC fee indexation and annual review obligations (proprietary annual review fee listed as $329)
- If trading under a different name, register a business name
How Commenda Helps South African Founders Establish an Australian Entity
Commenda supports South Africa-based founders through a managed setup process that covers incorporation and the related requirements for operating after registration. The objective is to provide a structured, end-to-end pathway so the Australian entity is not only registered, but also prepared to trade and maintain compliance.
Where Commenda can be relevant for South Africa-based founders:
- Remote setup of an Australian Pty Ltd with documents executed digitally
- Support for resident director requirements through a nominee director service (where appropriate)
- Registered office support and compliance-oriented setup to help reduce operational gaps
- Handling GST registration as part of incorporation services and positioning support for ongoing tax, payroll, and reporting obligations
If you want to register a company in Australia from South Africa with a managed setup path (incorporation plus early compliance foundations), review Commenda’s Australia offering and book a consultation with their team.
FAQs
1) What should we prepare for Australian bank and payment-provider onboarding?
Most delays happen during verification rather than incorporation. Prepare a single “onboarding pack” that typically includes: a current company extract, shareholder and beneficial owner details, director identification documents, proof of address for directors/UBOs, an ownership chart (especially if the South African parent owns the Australian entity), a short business description, website/app links, and evidence of commercial activity (contracts, signed proposals, invoices, or a pipeline summary). This reduces repeated requests and keeps onboarding moving.
2) Do we need to adjust our customer contracts for Australia, or can we reuse South African templates?
You can start with existing templates, but Australia-facing contracts usually need localisation where enforceability and operational reality differ. Common areas to review include governing law/jurisdiction, limitation of liability language, warranty/guarantee wording for consumer-facing sales, termination mechanics, and privacy/security terms. If you sell to mid-market or enterprise customers, expect security questionnaires and data-processing obligations that may require an Australia-specific addendum.
3) If we sell to consumers in Australia, what policy obligations should we design for from day one?
Australia’s consumer framework includes “consumer guarantees” that set baseline expectations for goods and services sold to consumers. These guarantees influence refunds, repairs/replacements, and remedies for failures, and they apply broadly when you sell goods or services to consumers in Australia.
Operationally, it is best to align your returns/refunds policy, support scripts, and public claims (website and marketing) to these guarantees before you scale.
4) Do South Africa-based founders need to comply with Australian privacy rules if they collect customer data?
Potentially. Australia’s privacy regime has a small business concept (often referenced with an annual turnover threshold), but coverage can still apply to some small businesses and there are exceptions. A practical approach is to assume you will need a clear privacy policy, defined retention practices, and an incident response plan once you handle meaningful volumes of personal data or higher-risk data categories.
5) Should we register trademarks in Australia even if our brand is protected in South Africa?
If the brand will be used materially in Australia, trademark protection is typically an Australia-specific process rather than an automatic extension of South African rights. IP Australia provides a step-by-step guide for applying for a trademark and highlights the importance of listing the correct owner.
6) Will we need Australian insurance immediately?
Often, yes from a commercial standpoint. Many Australian customers, landlords, and partners ask for proof of insurance (for example, professional indemnity for services/SaaS, public liability for onsite work, product liability for physical goods, and cyber coverage if you process sensitive data). Even when not strictly mandatory by law in every scenario, it can become a procurement requirement that blocks deals if addressed late.
7) If our business is fintech, payments, crypto, bullion, or gambling-adjacent, are there extra compliance obligations?
Possibly. If you provide “designated services” with a geographic link to Australia, you may be a reporting entity with AML/CTF obligations, including reporting certain transactions and maintaining an AML/CTF program. AUSTRAC outlines reporting obligations and what reporting entities must do.