Accountant for New Companies

How accounting for new companies usually works

A strong “for new companies” process starts with a short discovery: what you sell, expected turnover, founders and roles, hiring plans, funding, and any deadlines (first payroll, first invoice, investor close, or a GST threshold looming).

Then the work typically runs in these layers:

• Registrations and structure: ASIC company setup (or review), Director ID, ABN/TFN, GST and PAYG registrations, business name if needed.
• Banking and controls: open dedicated company bank account and savings for tax/super; define who pays bills, who approves, and who can release payroll.
• Software and workflow: Xero/MYOB/QBO with bank feeds, receipt capture, payroll (STP), super clearing, and a simple chart of accounts that matches how you operate.
• Compliance calendar: BAS or IAS cycles, super due dates, ASIC annual review, FBT/payroll tax if relevant, and year‑end company tax and financials.
• Reporting and cash flow: basic dashboard, breakeven and pricing checks, 13‑week cash flow for confident decisions.

Australian context to keep in view

• You need a Director ID before you’re appointed as a director of an Australian company.
• ACN (company) and ABN (business) are different. You’ll usually have both once the company is formed and registered for tax.
• Register for GST at $75k+ projected turnover (earlier if you want input credits). Ride‑sourcing requires GST regardless of turnover.
• STP‑enabled payroll and super payments via a clearing house are mandatory for employers.
• If you don’t quote an ABN when required, payers may need to withhold 47% from payments to you.
• Company tax rate is generally 25% for base rate entities (subject to rules). Director penalties can apply for unpaid PAYG and super.
• Check state obligations: payroll tax thresholds vary; Workers Compensation/WorkCover may apply once you hire.

What to compare before you commit

Registrations and compliance timeline for new companies

• Week 0–1: Company formation (ACN), Director ID, ABN/TFN, business name (if trading name differs), GST/PAYG if required, open bank accounts.
• Week 1–3: Set up accounting software with bank feeds and receipt capture, implement STP payroll, connect super clearing house, set invoicing and bill approvals.
• Month 1–3: First BAS/IAS obligations begin, super cycles commence, set up compliance calendar, review pricing and tax set‑asides.
• Quarter 2+: Lock monthly close routine, management reporting, and cash flow cadence. Consider FBT and state payroll tax if thresholds are met.

For a step‑by‑step view, see the New Business Accounting Checklist and Cash Flow Set Up.

Software stack that works for new companies

Most new companies are well served by Xero, MYOB or QuickBooks Online with:

• Bank feeds for timely reconciliations and cash visibility.
• Receipt capture (Hubdoc, Dext) to keep source documents attached and audit‑ready.
• STP payroll with super clearing and employee self‑service.
• Basic dashboard: cash runway, aged receivables/payables, and monthly P&L trend.

Your accountant should recommend a chart of accounts that mirrors how you sell and spend, so reporting is decision‑ready, not just compliant.

Common mistakes new companies can avoid

• Using personal bank accounts—separate funds from day one.
• Delaying GST registration and missing input credits.
• Running payroll outside STP or paying super late.
• No approval workflow for bills, causing duplicate or incorrect payments.
• Over‑complicated charts of accounts that make reports hard to read.
• Not setting aside cash for BAS, company tax and super—create a tax holding account.

Best next steps

Write the outcome you want: “clean setup and first BAS on time”, “hire first employee with STP and super sorted”, or “cash flow visibility for the next 13 weeks”. Shortlist providers against that outcome.

Then choose the fit that explains the plan, the handover, and the first 90 days clearly—so the work delivers momentum, not more admin.