True Cost of Starting a Company in Australia (ASIC + Ongoing Fees)

Thinking about setting up a company in 2026? Company registration costs Australia entrepreneurs need to understand before setting up a company in 2026 include ASIC registration fees, annual review fees, and ongoing compliance costs. Before you register, you need to understand both the upfront ASIC fee and the ongoing compliance costs not just the advertised “cheap setup” price. This guide provides a concise explanation of company registration costs in Australia, breaking down the mandatory one-off ASIC registration fee and the recurring annual review fee. Understanding these figures is the first step to accurately budgeting for your new proprietary limited company and ensuring long-term compliance from day one.

ASIC Registration Fee: A mandatory, one-off fee payable to ASIC to register a proprietary limited company. Check current ASIC guidance for the exact amount.
ASIC Annual Review Fee: An ongoing yearly fee to keep your company registered. This is non-negotiable.
ABN Registration: Free if you are eligible and apply via the Australian Business Register (ABR).
Setup Costs: Vary significantly, from DIY (ASIC fee only) to full-service accountant setup, which offers lower compliance risk.
Corporate Trustee: If required for a trust, this involves registering a second company, doubling your ASIC registration and annual review fees.
Ongoing Compliance: Budget for annual tax returns, bookkeeping software, and potential ASIC agent fees beyond the initial setup.

What Are the Real Company Registration Costs in Australia?

Understanding company registration costs Australia businesses face helps you budget correctly for both the initial ASIC registration fee and ongoing compliance expenses. When budgeting to set up a new company, it’s crucial to understand the complete financial picture. The true company registration costs in Australia go far beyond a single setup fee. The total expense is a combination of mandatory government charges, your chosen setup method, and essential ongoing compliance obligations.

The primary government fee is paid to the Australian Securities and Investments Commission (ASIC) to register your company using an ASIC Form 201. Upon successful registration, ASIC issues your unique Australian Company Number (ACN), and your company legally exists. However, this is just the beginning.

Free vs Paid Registrations: What You Need to Know

Understanding the difference between registrations helps avoid confusion:

ACN (Australian Company Number): Paid registration through ASIC
ABN (Australian Business Number): Free via the Australian Business Register
Director ID: Free and mandatory via Australian Business Registry Services
Business Name Registration: Paid if different from your company name

Each serves a different purpose, and not all are optional.

Core ASIC Fees (2026)

These government fees are mandatory:

Fee Type	Payable To	When	Notes
Company registration fee	ASIC	One-off (at setup)	This is the fee for lodging the Form 201 application. Check current ASIC guidance for the latest fee.
Annual review fee	ASIC	Yearly	Payable on the anniversary of your company’s registration to maintain its status. Check the current ASIC annual review fee.
Business name registration	ASIC	1 or 3 years	Optional. Only required if your trading name is different from your legal company name.

DIY vs Accountant Setup: What’s the Difference?

Your setup method directly impacts both cost and risk.

DIY Registration

Lowest upfront cost (ASIC fee only)
Higher risk of errors
No professional advice

Online Formation Services

Moderate cost
Template-based setup
Limited support

Accountant-Assisted Setup

Higher upfront cost
Lower compliance risk
Tailored structure and ongoing advice

How to Calculate Your True Company Registration Cost

To estimate your real first-year cost, follow these steps:

Confirm the ASIC Registration Fee: Visit the ASIC website to find the current, non-negotiable fee for registering a proprietary limited company.
Decide on a Corporate Trustee (if needed): If you are setting up a trust (e.g., a family trust for asset protection), you will likely need a corporate trustee. This is a separate company and requires its own ASIC registration fee.
Include Business Name Registration (if applicable): Will you trade under a name different from your company’s legal name? If so, budget for the 1 or 3-year business name registration fee. Compare business names vs company to understand the difference.
Budget for Professional Setup: Factor in the company setup fees from your chosen accountant or service provider. This is your investment in getting the structure right.
Factor in the First Annual Review Fee: Your first ASIC annual review fee will be due on the first anniversary of registration. It’s a recurring cost, so budget for it from the start.
Include Ongoing Compliance Costs: Add estimates for essential services like bookkeeping software (e.g., bookkeeping with Xero/QuickBooks), annual tax return preparation, and BAS returns and lodgements.

This gives you a realistic financial picture, not just a basic setup estimate.

Example: First-Year Cost Breakdown

Let’s say you start a company:

ASIC Registration Fee: Government fee
Accountant Setup: Approx. $1,500 + GST
Business Name Registration: Additional fee
Accounting & Tax: Approx. $2,500 + GST
Bookkeeping Software (e.g., Xero): ~$720/year
ASIC Annual Review Fee: Payable after 12 months

👉 Total: A realistic first-year cost that includes both setup and ongoing obligations.

Ongoing Company Compliance Costs

Running a company involves continuous responsibilities.

Key ongoing costs include:

ASIC Annual Review Fee: A mandatory yearly payment to keep the company registered.
Company Tax Return Preparation: Professional fees for an accountant to prepare and lodge your annual company tax return with the ATO.
ASIC Company Secretarial Services: Many businesses pay an accountant to act as their registered ASIC agent. This service handles annual reviews and company detail changes, ensuring deadlines are met. Learn more about our ASIC company secretarial services.
Bookkeeping Software & Services: Subscriptions for platforms like Xero or QuickBooks, and potentially fees for a professional bookkeeper.
Tax Lodgements: Costs associated with preparing and lodging Business Activity Statements (BAS) for GST and PAYG instalments & withholding. You may also need help with our GST registration guide.

These are essential for staying compliant with both ASIC and the Australian Taxation Office.

Corporate Trustee: Additional Costs to Consider

If you are establishing a family trust or discretionary trust, a common asset protection strategy is to use a company as the trustee. This is known as a corporate trustee.

It is critical to understand that this requires setting up a separate, special-purpose company. This means you will incur an additional corporate trustee setup cost, which effectively doubles your basic ASIC fees:

An additional ASIC registration fee for the trustee company.
An additional ASIC annual review fee every year for the trustee company.

Failing to budget for these duplicate costs is a frequent mistake for those setting up more complex structures like a trust setup.

Startup Budget Checklist

Before registering your company, make sure you have:

✔ Confirmed ASIC registration fee
✔ Obtained Director ID
✔ Applied for ABN
✔ Registered business name (if needed)
✔ Considered corporate trustee structure
✔ Budgeted annual review fee
✔ Engaged an accountant
✔ Set up bookkeeping software

Common Cost Mistakes to Avoid

1. Choosing the Cheapest Option

Cheap setups often result in incorrect structures.

👉 Invest in professional advice early.

2. Forgetting Annual Fees

The ASIC annual review fee is unavoidable.

👉 Treat it as a recurring expense.

3. Confusing ABN and ACN

They serve different purposes.

👉 ACN = legal company
👉 ABN = business transactions

4. Ignoring Ongoing Costs

Setup is only the beginning.

👉 Plan for tax, bookkeeping, and compliance.

Frequently Asked Questions

How much does it cost to register a company in Australia?

The total cost includes the one-off ASIC company registration fee (check the ASIC website for the 2026 amount) plus any professional fees for an accountant. A realistic first-year budget should also include the annual review fee and bookkeeping costs.

Is ABN registration free?

Yes, applying for an Australian Business Number (ABN) via the official Australian Business Register (ABR) website is completely free, provided you are entitled to one.

What is the ASIC annual review fee?

It is a mandatory yearly fee paid to ASIC to keep your company registered and compliant. The amount can change, so it’s best to check ASIC’s website for the current ASIC annual review fee 2026.

Can I register a company myself?

Yes, it is possible to register a company yourself directly with ASIC. However, this carries a higher risk of making costly errors in your company’s legal structure, which can lead to future compliance issues.

Do I need a business name?

What is a corporate trustee?

A corporate trustee is a company created to act as the trustee for a trust. Yes, it costs extra as you must pay a separate ASIC registration fee and a separate annual review fee for this second company.

Are there hidden company setup costs?

The most common “hidden” costs are the ongoing ones that are often forgotten in the initial budget. These include the annual ASIC review fee, company tax return preparation fees, and bookkeeping software subscriptions.

How long does company registration take?

If all information is correct and lodged online, ASIC can register a company and issue an ACN in as little as a few hours, though it can sometimes take up to 48 hours.

Final Thoughts

Understanding company registration costs in Australia is about more than just paying a single fee. It’s about planning for both setup and long-term compliance.

By budgeting correctly and setting up your company the right way from the start, you can avoid costly mistakes and focus on growing your business.

Get Your Company Setup Right with TitanTax

At TitanTax, we help businesses:

Set up the correct company structure

Stay compliant with ASIC and ATO requirements

Plan for long-term growth and tax efficiency

👉 Contact TitanTax today to start your business with confidence.

Disclaimer

The information provided in this article is for general informational purposes only and does not constitute financial, taxation, or legal advice. TitanTax is not licensed to provide financial product advice.

Before making any business or financial decisions, you should consider your individual circumstances and seek advice from a qualified professional.

While every effort has been made to ensure accuracy, TitanTax does not guarantee the completeness or reliability of the information provided.