Business Structures

An incorporated association is a formal legal structure adopted by a broad range of non-profit organisations. Incorporated associations have the word 'incorporated' or the abbreviation 'Inc' in their name. Incorporated associations are subject to state or territory incorporation laws and are administered to by a government body within the relevant state and territory. As a…

A hybrid trust is a particular type of trust that combines the best elements of a discretionary trust and a unit trust in the one entity. This structure is useful for holding capital growth and income-producing assets such as rental properties. The advantages of a hybrid trust are: Can save tax by streaming different types…

A home unit company is a proprietary company whose sole function is to act as the body corporate of a block of flats or units. The company operates as a body corporate to administer the property and to facilitate, protect and enforce the rights of company members concerning the exclusive occupation of the residential areas…

Foundations are legal structures set up by some not-for-profit organisations to raise funds, hold funds and distributing funds (following the rules of the foundation). The advantages of a foundation are: Having a separate entity solely focused on fundraising can increase your organisation’s capacity to access the private sector and government funds. A separate board of…

  Farm discretionary trusts are used to acquire land for primary production while also providing flexibility so the property can eventually be transferred to other family members. There is a stamp duty exemption available for the transfer of farming land: From one or more individuals who are members of the family or a company whose…

Employee share schemes (ESS) give employees shares in the company they work for, or the opportunity to buy shares in the company.  Employees generally pay for the shares through a loan from their employer, through salary sacrifice, an upfront payment, from employee bonuses, or by using the dividends received on the shares. An employee share…

An early-stage innovation company (ESIC) is a company that has high growth potential, can scale, addresses a broader than the local market, and has competitive advantages. ESIC companies can provide investors with the following tax incentives: A 20% non-refundable tax offset on investments, capped at $200,000 per investor per year. A capital gains tax exemption,…

A discretionary trust (also known as a family trust) is a trust established to hold a family's assets or operate a business. Generally, they are established for asset protection and/or tax purposes. The benefits of a discretionary trust include: Flexibility on income distributions. The trustee decides before the 30th June each financial year how that…