Australia client case studies in 2023
Spain headquartered educational experience platform engages Healy Consultants for support services in Australia and New Zealand
- Our Client, a Valencia based online platform that helps mainly Spanish and Latin American individuals who want to study English, work, undertake a volunteer or just live during a period of time in an English speaking country.
- The Firm has international subsidiaries in Canada, Ireland, South Africa, Australia and New Zealand and approached Healy Consultants Group for assistance in replacing and providing a resident director in the latter 2 countries.
- Kunal being Spanish himself connected with this Client and advised our Firm could also provide legal and tax compliance for both Australia and New Zealand if required.
- The contact person connected the CFO and Kunal over a video conference call to further discuss the level of support Healy Consultants Group could specifically provide in Australia as their current Australian accountant was an acquaintance of the outgoing resident director and the Firm was concerned of any negative influence that could affect the Australian entity.
- Our Client and Kunal agreed the services required in Australia would include i) resident directorship ii) quarterly BAS filings iii) annual audit relief exemption and iv) one time review of current bookkeeping. For New Zealand, our Client would only engage us for resident director services.
- Since this was the first engagement with Healy Consultants Group, Kunal and our Client agreed engagement fees to be settled in 2 equal instalments – the first payment upfront and the second payment within 6 months.
- Prior to proceeding with director replacement, Kunal shared a draft of Healy Consultants Group Australia director agreement to ensure our Client is transparently informed of the terms and conditions of the appointment and we are all aligned.
- While the agreement was being finalized, Kunal received the requested due diligence documentation from our Client including the outgoing director of the Australia and NZ entities, and the current directors and shareholders of the Spanish parent company.
- Likewise, Kunal also shared the KYC documentation of our Australian associate who would be taking on both Australia and NZ directorships of our Clients companies so they could conduct internal and independent background checks.
- Once both parties were satisfied with their KYC checks the nominee agreement was signed. Kunal immediately enlisted our colleague Ms. Grace Odhiambo, who is the expert at Australian company secretarial and business setup support work, to prepare the requisite documentation for director replacements, including draft resolutions and ASIC forms.
- Within 2 days following receipt of all requisite documentation, Grace completed the Australian director replacement and emailed our Client the updated ASIC company extract.
- For NZ, on the other hand, our Client connected their NZ registered agent and accountant with Grace to exchange relevant documentation so she could directly make the necessary changes with the New Zealand Companies Registrar.
Accounting and tax and additional services
- Following completion of director replacements, Kunal introduced our accounting and tax director, Nik and his team to our Client so they could mutually agree the accounting deliverables, timeframes and important deadlines.
- From there onward, Nik and his department continue liaising with our Client to ensure timely completion of agreed deliverables.
Additional support services
- A few weeks after engaging Healy Consultants, our Client reverted to Kunal requesting support with updating the NZ and Australian corporate documents as the Firm was change its internal group structure and wanted to appoint a new corporate shareholder.
- Kunal and our Client agreed additional fees and Grace project managed the corporate structure changes including preparation of share transfer agreements, board resolutions and ASIC forms.
Setting up an Australia LLC for software development and consultancy
In January 2021 our Client, a Malaysia-based company, approached Healy Consultants Group PLC to assist with setting up an Australia LLC for a software development and consultancy.
- Healy Consultants Group PLC reserved our Client’s preferred business name with the Australian Securities and Investments Commission (ASIC).
- Simultaneously, we also prepared and emailed our Client the registration forms for signature.
- Our Client signed and email returned the registration documents, and we submitted the full application package to ASIC to proceed with company registration.
- Three days thereafter, Healy Consultants Group PLC obtained the Certificate of Incorporation, constitution and company extract documents.
- Healy Consultants Group PLC then submitted complete applications to Australia Business Registry and Australia Tax Office for registration of Tax File Number, Goods and Services Tax and Australia Business Number.
- Within one month of submission of the documents, we received the above registration numbers.
- Healy Consultants Group PLC approached multiple banks in Australia to open a corporate bank account for the newly-registered Australia LLC.
- We received confirmation of interest from several banks and pre-filled the account opening forms for our Client to sign.
- Healy Consultants Group PLC submitted the complete account opening package to our Client’s preferred banks.
- Unfortunately, most Australia banks required our Client to physically visit a branch in Australia to complete the KYC process. However, one of the banks accepted the application and requested notarised KYC documents from the Client.
- Our Client couriered the requested notarised KYC to the bank, and within six weeks, the account was opened.
- Our Client was then required to call the Australian bank for internet banking activation which was completed during the call.
- Our Client could now sign contracts, issue invoices, receive funds and pay suppliers through their newly-opened corporate bank account.
- Our Client asked Healy Consultants Group PLC to timely accurately and completely discharge their monthly and quarterly and annual legal, accounting, audit and tax obligations.
- Healy Consultants Group PLC asked our Client for a professional reference.
Accounting and tax obligations completed
- Company ‘A’ was incorporated in Australia in 2014. The company provides security analysis for its customers.
- The company’s main product is a Security Operations Center (SOC) subscription service that logs, monitors and analyses the organisation’s security events.
Accounting and tax obligations
- Once we received payment from the Client, we sent a detailed email including an overview of the project plan and requesting the documents required to complete the accounting and tax obligations.
- As the company is a small proprietary company controlled by a foreign company, Healy Consultants assisted our Client to obtain audit relief from the Australian Securities and Investments Commission (ASIC).
- Healy Consultants prepared and supplied the Client with i) director’s resolution and ii) Form 384 for signature and return to us.
- Our accounting team lodged the above documents with the ASIC.
- After the Client supplied us all the required documents such as trial balance, bank statements and sales invoices issued during the accounting period, Healy Consultants Group PLC’s accounting team prepared the draft financial statement for our Client’s review.
- Our team settled the ASIC fee once they received the ASIC annual statement.
- Healy Consultants obtained the Client’s approval and signature on the financial statement.
- Healy Consultants’ accounting team lodged the signed financial statement with ASIC and completed the corporate tax return filing with the Australian Taxation Office (ATO).
- Once the above was completed, Healy Consultants accounting team sent a summary of obligation to the Client including i) signed financial statement ii) ASIC annual payment and iii) lodged tax return form for their acknowledgment.
Australia company formation efficiently completed
- In November 2019 our Client approached Healy Consultants Group PLC to enquire about securing an Australian work visa for a foreign employee based outside the country. Initially, we were engaged to source multiple quality Australian immigration lawyers, and present our findings on the optimum visa strategy to our Client.
- Based on our findings, our Client decided the best option would be to first set up an Australian company, and then apply for the visa.
- In July 2020, the Client settled Healy Consultants Group PLC’s engagement fees to efficiently and effectively complete Australia company registration and secure the work visa for the employee.
- In addition to our company incorporation services, the Client also required our Firm to supply an Australia resident director as well as a Public Officer to take care of the company’s statutory obligations.
- Later in the engagement, our Client requested us to assist with the opening or an Australia corporate bank account.
- Our Client Relationship Officer Alvin Fan was assigned to project manage the engagement.
- Healy Consultants Group PLC provided our Client with a detailed project plan outlining i) the engagement process ii) expected timelines and iii) foreseeable challenges during the engagement. This was done to ensure that there would be no unexpected or unwelcome surprises for our Client during the engagement.
- Our team sent i) Australia company incorporation documents ii) an Ultimate Beneficial Owner (UBO) declaration iii) Australia nominee director agreement and iv) virtual office agreement to our Client for review and e-signature via HelloSign.
Australia company registration
- Our Client’s Australian company was incorporated in July 2020 following submission of all required documents to the Australian Securities and Investments Commission (ASIC). We e-mailed the Certificate of Incorporation to our Client.
- Our Australia team also applied for ABN, TFN and GST numbers from both ASIC and the Australian Taxation Office (ATO), and these were secured by 20 October 2020.
Corporate bank account opening
- In late August, our Client approached our team for assistance in opening an Australian multicurrency corporate bank account for the newly-incorporated company.
- To achieve this, Alvin and the team prepared a quality business plan for the bank. This detailed expected funds inflows and outflows for the first 12 months of operation.
- Alvin contacted several Australian banks with the aim of securing written confirmation that they would welcome a formal account opening application from our Client’s business.
- Several banks rejected Alvin’s approaches. One bank required the business to have a minimum annual turnover of A$50 million in order to be considered for onboarding. Another confirmed that, due to security and compliance reasons, they were unable to verify new Clients based overseas.
- However, eventually Alvin sourced a quality, leading bank prepared to onboard our Client’s business. Having submitted the application/business plan to the bank on 21 September, the bank confirmed that the account had been opened on 10 November.
Meeting statutory obligations
- In addition to incorporating the company and opening a corporate bank account, our Client engaged Healy Consultants Group PLC to supply the legal Australia resident director and public officer, to fulfil Australian corporate statutory requirements.
- Our annual responsibilities, as agreed with the Client, include i) preparation and filing of the legal Annual Return ii) securely maintain company records and chop; iii) liaising with the Australia Government on behalf of our Client and iv) legal filing of changes of company structure; and v) reminding our Client of statutory deadlines.
Australia work visa
- To date, our Client has not progressed the Australian visa application for their foreign employee. We expect this to be done in 2021.
Quotation for future services
- In September 2020, our Client requested a quotation for i) annual renewal fees for the Australian company and ii) monthly book-keeping services.
- On 25 November 2020, Healy Consultants Group PLC formally completed the engagement.
- Throughout the engagement Healy Consultants Group PLC supplied weekly detailed engagement status updates for our Client.
- We look forward to assisting with the Australia work visa application sometime in 2021.
US-listed company expands into Asia Pacific
- In 2019, Healy Consultants Group PLC advised our Client, a USA-listed company, about their expansion plans into the Asia Pacific region.
- One of the countries considered for expansion was Australia. Fortunately, Australia company setup is straightforward and fully open to foreign investment. The only requirement is to appoint a resident director. Most of our Clients therefore also engage Healy Consultants Group PLC to supply them with passive professional nominee director services, in order to meet this legal requirement.
- To simplify business setup, we recommended our Client register a proprietary company with an individual director and shareholder.
- In early June 2020, our Client agreed with above recommendations and settled Healy Consultants Group PLC’s engagement fees for this setup.
- Our team provided a detailed project plan outlining i) engagement process ii) expected timelines and iii) foreseeable challenges and solutions during the Australian engagement.
- We also supplied a draft business plan, for our Client’s review and approval, to ensure we were on the same page regarding the purpose of the new Australian company, and its future banking transactions.
Australia company registration
- The registration of the Australian entity took less than one week, requiring only the e-signature of the incorporation forms by the shareholder and foreign director.
- After registration of the entity with the Australia Securities and Investments Commission (ASIC), we provided a Certificate of Incorporation and other corporate documents to our Client.
- Tax registration in Australia is, however, slower than company incorporation. This is due to the requirement to supply some original notarised copies to the Australian Taxation Office (ATO). The process took around one month, mainly because our Client faced some issues in meeting a notary, as a result of the global COVID-19 pandemic.
Corporate bank account opening
- As agreed with our Client, we approached the Australian branch of a top-tier USA bank, with which our Client maintained an existing relationship.
- After a few phone calls between our Singapore office and the Singapore and Australian branches of the bank, the latter confirmed they welcomed a formal application from the new Australian proprietary company.
- In line with our “no travel” strategy, the corporate bank account was secured with this bank without the bank signatories having to travel to Australia. Thanks to our Client’s pre-existing relationship, the bank also agreed for all forms to be signed electronically! No wet signature required.
- Our Client received online tokens and passwords and integrated the bank account with their existing banking systems. From that date onwards, our Client was able to use online banking to complete transactions with their suppliers, customers and free lancers in Australia.
- See this page for more information on important considerations for Australia company setup.
An Indian remittance company branches out in Australia
Our Client is a money remittance firm registered in India. The company operates an online portal which is used by the expatriate population in several countries including USA, Canada, Britain, Germany and Singapore to remit money to India and Philippines.
In Australia, our Client planned to setup a subsidiary to offer similar services to the Indian expatriate population, who are the largest source of permanent migration to the country. Furthermore, our Client planned to benefit from the business friendly environment in Australia. In order to fulfill these objectives, the company directors approached Healy Consultants.
The initial conversations between Healy Consultants and our Client took place over the phone. Our Client pointed out they wanted to register a money remittance company in Australia. Healy Consultants realized the complexity of this engagement as money remittance companies face additional scrutiny from the Australian Government due to money laundering and terrorism financing concerns. However, given our prior experience with such projects, Healy Consultants assured our Client we could assist his firm and immediately forwarded the Client engagement letter.
With the company name and corporate structure agreed, Healy Consultants proceeded to reserve the name with the Australian Securities and Investment Commission (ASIC). Next, Healy Consultants proceeded to incorporate the company by submitting all the requisite documents to ASIC. After receiving the Certificate of Incorporation, Healy Consultants scanned the same and emailed it to the Client.
With the company registered, Healy Consultants proceeded to open the corporate bank account with a respected bank in Australia. First, Healy Consultants skillfully negotiated a travel exemption for our Client, because of which our Clients were not required to travel to Australia. Instead, our Clients simply traveled to the bank’s branch in their home city of Mumbai to sign the corporate bank account opening forms. The entire corporate bank account opening process was completed within 6 weeks.
Thereafter, Healy Consultants applied for internet banking services, after which the bank tokens were independently couriered to the Clients in India.
Engagement strategy document
Next, our Client requested Healy Consultants to prepare an engagement strategy document to address several issues including i) license requirements for operating money remittance business ii) HR and office space requirements and iii) taxation and compliance obligations. Healy Consultants contacted over 50 law firms, company secretarial firms and accounting firms; and based on consensus feedback prepared this document within 1.5 months.
Next, Healy Consultants proceeded to register our Client’s Australian subsidiary as a “money remittance company” with the Australian Transaction Reports and Analysis Centre (AUSTRAC). For this purpose, Healy Consultants assisted our Client with i) appointing an AML/CTF officer and ii) preparing an AML/CTF program. Thereafter, Healy Consultants submitted a formal proposal to the authorities for their approval.
Virtual office services
Additionally, our Client engaged Healy Consultants to use our Australian virtual office service for their company. This move has enabled our Client to more effectively operate their business in Australia.
Singaporean hotel developer enters Australian market
Our Client FC, a Singaporean citizen, owns a portfolio of property assets in Thailand, the Philippines and Malaysia, including small resort developments, apartments and luxury villas. He wanted to expand this portfolio by investing in Australia, a market which he believes offers excellent long-term prospects. Australia’s Tourism Forecasting Committee, for example, estimates that the country will require some 10,000 extra hotel rooms.
FC’s initial objective was to purchase a small hotel in Perth, Western Australia, a city he knows well because he has family and business associates living there. Healy Consultants had already assisted him with a residential property purchase in southern Thailand, and the efficient outcome of this had prompted him to contact us for assistance with his latest endeavour.
FC had identified a small hotel for sale in the eastern suburbs of Perth, close to the river, but since he was busy pursuing other business interests in Asia he required Healy Consultants’ assistance with completing the purchase, obtaining financing and advice on minimising his tax liabilities as a foreign investor.
His case was referred initially to our Perth office, which provides strategic consulting services for entrepreneurs investing in Australia, including liasing with government bodies to obtain foreign investment approval.
With this in mind, our Perth office approached Australia’s Foreign Investment Review Board (FIRB), with a view to obtaining approval for the hotel purchase – since FC is neither an Australian citizen nor resident. The FIRB referred our staff to its ‘Singapore Help Desk’, whose task is to assist Singaporean investors with direct investment applications in Australia.
The Singapore Help Desk e-mailed a foreign investment application form, which our staff completed on FC’s behalf. In addition, they prepared the FIRB’s standard Proposed Purchase document, which provides a full description of the property, including number of rooms, features and facilities, and the current use of property.
Jainey, our Client Relationship Officer in Perth, submitted these documents by courier to the FIRB near Canberra, and followed up with a telephone call two days later to confirm that they had been received. Jainey was advised that the approval time would be approximately three to four weeks.
As expected, the FIRB gave written approval Jainey within four weeks, and she communicated this to FC in Singapore. He was especially relieved because he did not wish to delay the process of making a formal offer for the property.
With this objective achieved, Healy Consultants commissioned a commercial inspection of the property through Archicentre, to enable FC to make an informed decision before making an offer. As well as providing peace of mind for the investor prior to purchase, a survey is also normally required by finance lenders, and so FC had requested that our staff include this step in the plan.
At this stage, Healy Consultants’ solicitor became involved in the project. FC had made a written formal offer for the property, which had been accepted by the vendor. FC was then required to lodge a 10% deposit with the solicitor to secure the property, which Healy Consultants did on his behalf. Our team forwarded the receipt from the solicitor directly to FC.
With this step complete, our solicitor began the conveyance process, drawing up the Contract of Sale. Once this had been drafted, the contract was couriered to FC in Singapore for his perusal, approval and signature, which, being in good order, was returned to our Perth office within one week.
The next phase of the engagement was for Healy Consultants’ staff to source a suitable lender for the purchase. Our recommendation to FC was to obtain a Singapore dollar mortgage from a Singapore-based bank. However, to ensure we explored all options, representatives from three large banks visited our Perth office to present their Australian dollar mortgage products, and this enabled Jainey to draw up a detailed comparison table and recommendation for FC’s review, which he received by e-mail.
At the same time, the Banking Team in our Singapore office also approached three Singapore-based banks with a view to securing a Singapore dollar mortgage for FC. At this stage, it became clear that the Singapore dollar mortgage was a preferable solution for FC’s requirements.
Within one week, FC had decided to proceed with the Singapore dollar mortgage offer from a renowned APAC bank in Singapore, which was able to offer an interest rate of just 3.9% against 6.9% for the Australian dollar mortgage. Upon FC’s instructions, our Singapore Banking Team began to prepare the Singapore dollar mortgage application documents on his behalf.
Accounting and tax support
Obtaining a property investment bank loan can be challenging, and the bank required a detailed Business Plan describing the hotel facilities and why FC required financing. Healy Consultants’ Marketing and Media Department therefore prepared a detailed Business Plan, providing information on the property type, its location, financial projections, as well as an analysis of hospitality market conditions in Perth.
The Singapore dollar loan was approved in three weeks, our Singapore Banking Team couriered a complete approval pack to FC. With financing in place, Healy Consultants’ solicitors arranged for exchange of contract on FC’s behalf.
To complete this phase of the project, Healy Consultants’ Australia Accounting Team registered FC for goods and services tax (GST) and paid stamp duty to the Australian Tax Office (ATO).
The principal challenge for an engagement of this type is to efficiently manage the many disbursements, including legal fees, stamp duty, mortgage application fees, insurance and rates, council taxes and utilities. FC was grateful that he was not required to visit Perth during the whole process due to business commitments in China, but was able to remit via Internet the necessary funds to cover costs when required.
The hotel property is now ready for occupation. To coincide with the opening, Healy Consultants has been engaged to design and develop a website for the property, which will be delivered to the Client on budget and schedule.
ICT consultant sets up Australian LLC
David Wilson is an Australian IT expert who has worked in the telecommunications and IT sector in Australia for the last 10 years. He worked for a large internet communications technology (ICT) provider in Melbourne, and had gained an in-depth knowledge of project management and finances in his role there. With this experience under his belt, David wanted to strike out on his own and set up his own ICT consulting business, devising ICT strategies for Clients, managing ICT projects and building databases. The Australian ICT sector is a rapidly expanding area, but faces an acute shortage of qualified experts to meet demand, and Mr Wilson hoped to tap into this demand imbalance and build his business accordingly.
David first contacted Healy Consultants to find out how we could help him with his endeavour. Our business startup services are as varied as our Client’s needs, and David was especially interested in utilising our marketing expertise to drive his company forward once it had been incorporated. The first step was for Healy Consultants to prepare a detailed cost proposal, covering company incorporation, assistance to open an Australian corporate bank account, and marketing support, including copywriting press releases and designing, developing and optimising a business website. David also expressed an interest in our tax and accounting support, especially with respect to filing tax returns and preparing audited financial statements, which are statutory obligations under Australian company law.
With engagement costs agreed, David settled our invoice and also provided due diligence as outlined in the Client Engagement Letter. David also explained his required corporate structure – he would act as the Australia-resident director and shareholder for the private limited company, while Healy Consultants would fulfill the statutory requirement for a resident company secretary. With this agreed, Healy Consultants began preparing the application documents required by the Australian Securities & Investments Commission (ASIC) for incorporation, including proposed company name, registered office details, director and secretary details and share structure details. These documents were then submitted to the ASIC for processing. The following day, Healy Consultants received a Certificate of Registration for the company and an Australian Company Number. Upon receipt, Healy Consultants e-mailed copies of these documents to David for his reference, along with a printout from the Australian Business Register.
The next task was to open a corporate bank account for the new company. Opening a corporate bank account in Australia is challenging, since banks require a lot of information on signatories and the company before an application is considered. With this in mind, Healy Consultants prepared a detailed business plan for David’s company, providing comprehensive information on its activities, products and services, as well as its Clients and suppliers. The plan also included information on the bank signatories, an analysis of the ICT market in Australia as well as some financial projections for the first three years of operation. Along with a completed corporate bank account application form, Healy Consultants couriered the business plan to David for his signature and return to us. Once this was received, Healy Consultants prepared a detailed bank application, including the application form, business plan and corporate and personal due diligence on the signatories. This was then submitted to the bank. Bank account approval was received within three weeks by Healy Consultants along with separate packages containing a corporate cheque book along with credit and ATM cards. These items were then sent to David in separate postings.
Accounting and tax support
The next step was to register David’s company for goods and services tax (GST). An Australian company is required to register for GST if its turnover exceeds A$50,000 (US$45,000), a level which David expected to easily surpass. Healy Consultants filed an application to the Australian Taxation Office (ATO) to register the company for GST, which was completed on the same day.
Healy Consultants’ final task in the engagement to date was to initiate a marketing campaign for David’s company. Our first role in this was to build a business website based on brief content supplied by David (which he had supplied for his bank account business plan). Healy Consultants’ copywriters elaborated on the content, while the website design team built the template according to David’s rough design guidelines and specifications. At the same time, Healy Consultants’ marketing staff also prepared press releases and advertorial copy which was supplied to IT and ICT trade magazines in Australia, to accompany a print advertising campaign. Press releases announcing the company’s launch were also sent to press release agencies on David’s behalf, thereby maximising exposure. The website was launched shortly after the print media campaign, and our web designers had optimised the pages to ensure it was compatible to the leading search engines such as Google, Yahoo and MSN.
David’s business is growing steadily, and he has Clients both in Victoria and New South Wales. He has requested Healy Consultants’ assistance to prepare financial statements and a tax return at the end of the financial year, in line with statutory requirements.