Why form a company?
Starting business as a company offers you many advantages: limited liability, tax efficiency, trading confidence, excellent investment tool and many more advantages .
If you are trading as sole trader or partnership it is worth re-evaluating your personal exposure and tax efficiency.
Company incorporation can be a tricky process requiring specific knowledge. There are also statutory legal obligations for companies and their directors set by the New Zealand Companies Act and fines of up to $10,000 if these obligations are ignored. As practice shows most businesses are not aware of these requirements.
It is important to obtain and maintain these documents in order to avoid the fines.
What structure to use?
Small businesses generally use one of three business structures in New Zealand: sole trader, partnership or a company. A company is essentially a mechanism to create a separate legal entity to carry on business.
Limited liability company (LLC) offers protection to shareholders.
Shareholders of a limited liability company are not liable for the business debts of the company (subject to any personal guarantees given) – they are only liable for any unpaid money owing on their shares.
Registered your company yourself but did not obtain necessary statutory documents?
We can help! Order Company Folder for $199 for your existing company.
The folder includes all the necessary statutory documents for the complete and legal company start-up.
Why choose us?
With BizOffice you start a 100% compliant business. You do however need to be careful and diligent to stay compliant. Reflect all the changes, company meetings and other company activities in the company documentation.