Starting a Business in Queensland: The Complete Legal Checklist

Starting a business in Queensland involves more than registering an ABN and printing business cards. The legal foundations you set in the first weeks determine your personal liability exposure, your tax position, your ability to raise capital, and your protection if things go wrong with a co-founder, employee or customer. Getting this right from the start costs a fraction of fixing it later.

This checklist covers every legal step you need to take, with current figures and specific legislation references.

Step 1: Choose Your Business Structure

This is the most consequential decision you will make at the outset. Each structure has different implications for tax, asset protection, ongoing compliance costs and exit strategy.

Structure	Liability	Tax Rate	Cost to Set Up	Best For
Sole Trader	Unlimited personal liability	Individual marginal rates (up to 45% + Medicare)	Free (just ABN)	Freelancers, sole operators
Partnership	Unlimited personal (joint and several) under Partnership Act 1891 (Qld)	Individual rates (pass-through)	$500–$2,000 for agreement	Professional practices, co-founders
Company (Pty Ltd)	Limited to company assets (directors have personal liability only in specific circumstances under Corporations Act 2001)	25% (base rate entity — aggregated turnover under $50M) or 30%	$2,500–$8,000 (registration + constitution + shareholder agreement)	Growth businesses, investor-ready
Trust	Depends on structure (trustee liability)	Distributed to beneficiaries at their marginal rates	$2,500–$6,000	Asset protection, family businesses

Yes, Queensland partnerships are still governed by the Partnership Act 1891 (Qld) — one of the oldest statutes in continuous operation in the state.

For trusts, note that the Trusts Act Bill 2024 (Qld) takes effect August 2025, replacing the Trusts Act 1973 with modernised provisions including a 125-year trust lifespan.

Every structure has trade-offs. We recommend seeking both legal and accounting advice before choosing — the cost of restructuring later is significant (stamp duty, CGT, re-executing contracts with all counterparties).

Step 2: Register Your Business

• ABN: free, via abr.business.gov.au. Takes 5 minutes online.
• ACN (if company): via ASIC. Registration fee is $611 for 2025–26 (this changes annually). Done online via ASIC Connect.
• Business name registration: ASIC, $44/year or $102/3 years. Required if trading under any name other than your own personal name.
• GST registration: mandatory if your annual turnover exceeds $75,000 ($150,000 for non-profits). Register via the ATO Business Portal or through your accountant.
• State/territory licences: check the business.gov.au licence finder for your industry. Some industries (e.g. building, real estate, financial services, food service) require specific licences before you can operate.

Step 3: Essential Legal Documents

Shareholder or Partnership Agreement

The single most important document for any business with more than one owner. It governs decision-making, profit distribution, exit mechanisms and dispute resolution. Without one, you default to the Corporations Act 2001 (for companies) or the Partnership Act 1891 (for partnerships), neither of which is designed for your specific situation. See our article on shareholder agreements for more detail.

Employment Contracts

Use from day one with every employee. See our guide on employment law mistakes for employers. A good employment contract costs $500–$1,500 and protects your IP, confidential information and client relationships.

Terms and Conditions

Your contract with your customers. Essential for managing liability, payment terms, dispute resolution and limiting your exposure. Every business selling goods or services needs these.

Privacy Policy

The Privacy Act 1988 (Cth) previously exempted businesses with annual turnover under $3 million. That exemption was removed in December 2024 under the Privacy and Other Legislation Amendment (Data Breaches) Act. This means virtually all businesses now have privacy obligations. You need a compliant privacy policy. See our article on Privacy Act compliance.

Other Documents

• Website terms of use
• Independent contractor agreements (if using contractors — critical to avoid sham contracting)
• Non-disclosure agreements (NDAs) for commercial discussions, partnerships and investor conversations

Step 4: Employment Obligations

If you are hiring employees, you have significant legal obligations from day one:

• National Employment Standards (NES): 11 minimum entitlements that apply to all employees regardless of contract terms
• Modern awards: use the Fair Work award finder to identify the correct award for your industry and roles. Getting this wrong is one of the biggest compliance risks for employers.
• Superannuation: 12% from 1 July 2025 (up from 11.5% in 2024–25). Payable on ordinary time earnings. Due quarterly.
• Workers' compensation insurance: compulsory in Queensland via WorkCover. Average premium rate is approximately $1.343 per $100 of wages (2024–25). Register before your first employee starts.
• PAYG withholding: register with the ATO before paying any employees.
• Single Touch Payroll (STP Phase 2): mandatory. Your payroll software must report to the ATO each pay run.

Step 5: Insurance

• Public liability: essential for any business that interacts with the public or operates from premises. Typically $5–$20M cover.
• Professional indemnity: mandatory for some professions (lawyers, accountants, engineers, financial advisers, real estate agents). Recommended for any business providing advice or services.
• Workers' compensation: compulsory in QLD if you have employees (see above).
• Product liability: if you manufacture, import or sell products.
• Cyber insurance: increasingly important given the new privacy obligations. Covers data breach response costs, notification costs and regulatory fines.
• Management liability / D&O: directors and officers insurance. Protects personal assets of directors against claims. Essential if you are a director of a company.

Step 6: Intellectual Property

• Trade mark registration: via IP Australia. $250 per class (standard filing) to $400 per class (headstart filing). You get 10 years of protection, renewable. Register your business name, logo and key brand elements early. It is far cheaper to register a trade mark ($250) than to fight someone who registers it before you ($20,000+ in legal fees).
• Copyright: automatic in Australia under the Copyright Act 1968 (Cth). No registration required. But make sure your employment contracts and contractor agreements assign IP to the company — otherwise the creator owns it by default.
• Patents: if you have a novel invention. Expensive and time-consuming ($10,000–$30,000+) but essential if your business depends on a technical innovation. Seek specialist IP advice.
• Domain names: register .com.au, .com and any obvious variations of your business name early.

Step 7: Regulatory Compliance

• Industry-specific licences: building (QBCC), real estate (OFT), food (local council + Food Act 2006 (Qld)), financial services (AFSL from ASIC), labour hire (Labour Hire Licensing Act 2017 (Qld)).
• Australian Consumer Law obligations: consumer guarantees apply regardless of what your terms say. You cannot contract out of the ACL.
• Privacy Act obligations: as noted above, the $3M exemption was removed in December 2024. All businesses must comply.
• Anti-money laundering: if you are in a reporting entity sector (financial services, gambling, bullion dealing). AML Tranche 2 (covering lawyers, accountants, real estate agents) is progressing through Parliament. See our article on AML compliance.
• QLD payroll tax: the threshold is $1.3 million in annual Australian taxable wages. If your total wages exceed this, you must register for payroll tax with Queensland Revenue Office. Rate: 4.75%.

Frequently Asked Questions

Do I need a lawyer to start a business in Queensland?

You do not legally need one for the registration steps (ABN, ACN, business name). But if you are setting up a company or trust, or if you have partners or shareholders, getting the structure and agreements right from the start is critical. The cost of fixing a bad structure later is 5–10x the cost of doing it properly upfront.

How much does it cost to set up a company in Australia?

ASIC registration fee is $611 (2025–26). Add legal costs for a constitution and shareholder agreement: $2,000–$6,000. Total: approximately $2,500–$7,000 depending on complexity. You also need to maintain the company (annual review fee, ASIC annual statement, registered office, company records).

What's the difference between a sole trader and a company?

The key difference is liability. A sole trader has unlimited personal liability — if the business is sued, your personal assets (house, car, savings) are at risk. A company is a separate legal entity — liability is generally limited to the company's assets. Companies also have more credibility with larger clients and are better positioned for growth and investment.

Do I need to register for GST?

Only if your annual turnover is $75,000 or more ($150,000 for non-profits). Below that, GST registration is optional. However, some businesses register voluntarily to claim GST credits on their purchases.

What insurance do I legally need?

Workers' compensation is compulsory in Queensland if you have employees. Professional indemnity is mandatory for certain professions. Beyond that, public liability and cyber insurance are strongly recommended for all businesses. Your industry may have specific insurance requirements.

Starting a business? Get the legal foundations right from day one. Speak with Astris Law on (07) 3519 5616. See our commercial law and regulatory compliance services.

This article is for general information purposes only and does not constitute legal advice. You should seek professional advice tailored to your specific circumstances before acting on any information in this article. Liability limited by a scheme approved under Professional Standards Legislation.