As a sole trader, applying for an ABN online might bring up a few questions and issues:
In this article, you’ll find all the information you need to get your ABN without spending hours researching online or spending too much money. We’ll be covering:
Looking to apply for an ABN right away? Get your ABN online with Parpera today!
There are four ways to apply for an ABN:
Let’s take a look at all four options one by one.
Parpera is an all-in-one financial management platform in a simple-to-use app designed for small businesses, freelancers and sole traders in Australia.
We’ve built our app specifically for freelancers, which means we’ve made it as easy and simple as possible to register for an ABN and set up a business bank account.
The benefits of applying for an ABN with Parpera are:
You will need:
We currently only offer ABNs for individuals/sole traders. If you're a business owner and want a company ABN, you’ll first need to register for your company, pick a business name and use the other methods listed below.
You can apply for an ABN through the Parpera app or via the website. When you download our app, you’ll be given an opportunity to request an ABN before creating your account.
Once you enter your email, you’ll be asked a series of questions including:
These questions help us understand whether you’re eligible for an individual/sole trader ABN and if you can carry out a business in Australia.
The second option is to hire an accountant to help you apply for an ABN. They will likely charge an additional fee unless you’re already a client or plan to use their services again.
Where can you find accountants? Some ideas are:
You can go through the Australian government’s website and apply for your ABN details on the Australian Business Register. It’s free and your application will take up to 20 business days to be reviewed.
Before applying for an ABN through Australian Business Register:
Here are the steps to applying for an ABN via the ABR:
You can see how your application is doing with the ABN Lookup tool.
There are several tools you can find online that will apply for an ABN online for you. However, most of them charge at least $39 to get it done and could take over a week to be processed.
Online tools that offer ABN service:
Most of the ABN registration tools have a three-step process:
An ABN is an Australian Business Number issued by the Australian Business Register (ABR) which is managed by the ATO (Australian Taxation Office). It’s an 11 digit number that helps you get paid and manage your business transactions for tax purposes.
You can’t invoice for work performed without an ABN, which is why it’s essential to get an ABN for your business.
Once you get your ABN, you’ll be able to register for GST (Goods and Services Tax), register for PAYG (Pay As You Go) if you’re hiring employes and register your business name.
Depending on the kind of business you run and your business structure, there are different types of ABN for you to consider while filling out the application:
Once you’ve submitted your ABN application, there are three possible outcomes:
1. Your application is successful
If your application is successful, you’ll receive your ABN number immediately. That means you can start to invoice clients and apply for other business registrations. Your details will automatically be added to the Australian Business Register.
2. Your application needs more information
In some cases, the ABR might need more information from you. You’ll receive a reference number with some questions requesting more information. If your application has been approved, you’ll get a confirmation and your ABN in 14 days.
3. Your application is turned down
If your application is unsuccessful, you’ll be given a “refusal number”. The ABR will send you a letter within 14 days explaining why your application was refused and what other options are available to you.
As a sole trader, you can manage your business finances with your personal bank account. But this can get confusing when you start having business expenses and you want to sort out what you set off against taxes.
That’s why it’s worth having separate business account that can help you to:
To sign up with Parpera:
Why Parpera? A few reasons:
After creating an account with Parpera, you instantly create a Volt business bank account where you’ll be protected for up to $250,000 under the Financial Claims Scheme.
With your Volt business bank account, you can:
With Parpera, you’ll be able to create and send professionally designed invoices directly from your phone within a few minutes.
Every invoice you create will automatically include your bank details and is tax compliant (whether you’re registered for GST or not). We’ve optimised the invoice for faster payments:
You can review every invoice email before sending it to clients and you can send yourself or your accountant a copy with each one.
Once you sign up to Parpera, you’ll be able to order your own Parpera debit card. With the card, you’ll be able to pay for expenses online and in-person. We don’t charge any debit card fees, FX fees or additional card fees.
The card will be linked to your account, and you’ll be able to see your expenses come in as you spend. You’ll also be able to categorise them in different categories, and tag the ones that you want to claim against tax.
Claiming against taxes is as easy as tagging your expense to make sure you take into account when tax time comes around.
Parpera is not just an app: it’s a membership and community. You’ll get the support of our customer service, wherever and whenever you like, from the website and our app.
Plus, you’ll get:
It depends where you get your ABN. Here are a few options:
If you register through the Australian Business Register (ABR), it is free.
There are four main ways to get an ABN number:
You can read more here: How to apply for an ABN
It depends on whether the activity you are being paid for can be classified as a hobby or a business. This Australian’s Government page clearly defines the difference between the two. If it’s clearly a business transaction, then you’re better off getting an ABN — although make sure to consult with an accountant if you aren’t sure.
Getting an ABN for your business doesn’t have to be tough or complicated. With Parpera, you can get an ABN within minutes. We hope this article on how to apply for an ABN online has provided you with all the information you need to get an ABN quickly so that you can focus on growing your business instead of dealing with admin.
Please note the information contained in this article is general information only and does not take into account your personal circumstances. Before you open any account please ensure that you obtain and read the account terms and conditions and Target Market Determination to see if the account is suitable for you.
*Parpera Australia Pty Ltd (Parpera) ABN 47 641 580 743 is an Authorised Representative (No. 1292372) of Railspay Pty Ltd (Railspay) ABN 17 646 031 558, which holds an Australian Financial Services Licence (AFSL) (No. 530983).
Volt Bank Limited (Volt) ABN 67 622 375 722, which holds an AFSL (No. 504782) is the issuer of the bank accounts in Parpera's App and deposits of up to $250,000 per account holder are protected by the Financial Claims Scheme.