Registering your music business is a powerful step that formalises your work, protects your efforts, and can unlock new opportunities. It lays a strong foundation for growth, helping you manage finances, reduce risk, and build a lasting brand for yourself and your community. This process is about empowering you to take control of your business story and build something lasting.

Transitioning from a sole trader to a company was a turning point for me. It gave me the confidence to secure funding partnerships, take on larger projects, and build a lasting career in music. Taking my time and being strategic during the start-up phase resulted in turning my passion for Indigenous music into a profession”.

However, it's important to consider the responsibilities that come with running a business, as navigating colonial structures can be exhausting and stressful. 

How you set up your business is called its structure, the decision affects how you pay tax, what rules you need to follow, and how much personal risk you take. These are the most common options for music businesses.

Sole Trader

This is the simplest, most common structure, where you as the individual are seen to be the business.

How it works: You run the business and are responsible for everything. You use your personal Tax File Number (TFN) to report business income with the help of an accountant.

Good for: Artists, freelancers, small operations just starting.

Keep in mind: You are personally responsible for any business debts. You can also register for GST as a sole trader. 

Partnership

This is when two or more people or entities run a business.

How it works: You and your partners share control, ownership, and profits. A partnership agreement is highly recommended to outline how you'll work together and finish when the project or relationship ends.

Good for: Bands, collectives, or teams who want to share.

Keep in mind: All partners share responsibility for business decisions and debts. Bands can also operate as a group of sole traders, you don’t need a partnership to be a band.

Company

A company is a separate legal entity from you, its owners also known as shareholders.

How it works: The business is its own "person" in the eyes of the law. This offers more protection for your personal assets if you own property or other businesses.

Good for: Established businesses looking to grow, to seek major investment, or for those starting out that want to reduce risk and personal liability (e.g. if you own property).

Keep in mind: Companies are more complex, there are fees to set up a company, and there will be higher ongoing costs to run the company, when compared to other structures. 

There are other options like a trust, and you can start small and transition to a different business structure. Be sure to do independent research to get clarity on the options.

An ABN is a unique 11-digit number required to operate a business in Australia and apply for government grants. If trading under a name other than your legal name, you must register it. See the downloadable step by step guide for registration steps. 

Registering your business potentially unlocks opportunities like access to grants requiring an ABN, building credibility with partners, simplifying finances with a dedicated bank account, and protecting your brand by securing your business name. These steps lay the foundation for a strong, sustainable future.

Look for state or national orgs offering free business setup support, like Indigenous chambers of commerce, Indigenous Business Australia workshops, or privately run businesses like Yarpa.