Understanding ASIC: Your Business's Regulatory Guide

Australian Securities and Investments Commission (ASIC) is an independent Australian government body that regulates Australian corporations, financial markets, consumer credit, and financial services. 

Their responsibilities include:

  • Regulating corporate governance practices
  • Protecting consumers from financial risk
  • Ensuring accurate & transparent financial reporting
  • Investigating and penalising corporate misconduct
  • Licensing and regulating financial services and organisations that engage in consumer credit activities

Navigating Your Interactions with ASIC

Companies:

  • Initial Registration: To establish a company, you'll need to lodge specific information with ASIC, including addresses, director and shareholder details, share class and price information.
  • Director ID: Every director of a company must have a Director Identification Number (DIN). While it is a requirement that all directors hold a Director’s ID, it is not yet necessary to lodge this information with ASIC. This may change in future, particularly for new company registrations.
  • Annual Review: ASIC will send out a company statement each year, 2 months prior to the due date. Details on the statement must be checked and an annual fee must be paid to ASIC to maintain registration of the company. Late lodgement fees will apply. 
  • Changes to Company Information: Any changes to company details, such as director changes or address updates, must be notified to ASIC within 28 days of the change.

Trusts with Corporate Trustees:

  • Corporate Trustee Registration: A company acting as a trustee for a trust/self-managed super fund (SMSF) must be registered with ASIC.
  • Annual Review: Corporate trustees are subject to annual review requirements and fees similar to those of other companies.
  • Changes to Trustee Information: Any changes to the trustee company's details must be notified and lodged with ASIC within 28 days of the change.

Business Names:

  • Registration: Businesses, such as sole traders, partnerships, trusts and companies, operating under a business name must register that name with ASIC.
  • Similar Names and availability: Your business name must not be identical or too similar to a name already on the register. You can check availability here
  • Renewal: Business name registrations are valid for either 1 year or 3 years, depending on the renewal or registration opted for.
  • Changes to Business Name Information: Any changes to the business name holder's details must be notified to ASIC.

Director ID:

  • Enforcement: ASIC is responsible for enforcing Director ID legislation. It is a criminal offence if directors do not apply for an ID on time and penalties may apply. Here

Keeping Information Updated

Entities, their responsible officers, and business name holders (such as directors, shareholders, trustees and sole traders) are responsible for ensuring that the information provided to ASIC is accurate and up to date. Failure to do so can result in penalties.

Fees Charged by ASIC

ASIC charges fees for various services, including:

  • Initial company registration fees
  • Annual review fees for companies and corporate trustees
  • Business name registration fees
  • Late lodgement fees
  • Deregistration fees

For more information about the fees, please visit here.

Contacting and Lodging with ASIC

You can interact with ASIC through various channels:

  • Online Portal: ASIC provides an online portal for lodging documents and accessing information. Here
  • Registered Agent: We can lodge documents on your behalf. Get in touch if you would like our assistance in managing your ASIC requirements.
  • Direct Contact: You can contact ASIC directly by phone or email for assistance. Here

Disclaimer

This is not advice. Items herein are general comments only and do not constitute or convey advice per se. The information contained in these articles is for guidance only and should not be relied upon without obtaining professional advice having regard to your direct circumstances.