Unlike private companies, under the Corporations Act public companies can raise capital from the public, and have unlimited shareholders. These two attributes make public companies an attractive structure when businesses need to raise large amounts of funds.
Compared to private companies, public companies are subject to additional administration and regulatory costs (i.e. half-yearly financial statement preparation, half-yearly audit, minimum number of directors, etc).
- Incorporate the company with ASIC.
- Apply for ABN, TFN, and business name registration for the company.
- Raise capital from the public (subject to complying with the fundraising conditions in the Corporations Act).