Here Are 10 Questions You’ll Be Glad You Asked Before You Opened The Doors
So, you’ve got an idea — maybe even a name, a logo, and a friend who swears your brownies are better than anything in the supermarket. The spark is there… and you’re ready to turn that spark into a business.
But where to start?
At RSM Tasmania, we’ve been helping local businesses get their insurance sorted for nearly two decades. And from our perspective as one of the insurance brokers Hobart businesses rely on, it’s not just about insurance — it’s about peace of mind. We’ve pulled together some of the most common questions we hear from start-ups, especially those just getting off the ground.
👇 Let’s dive into the top 10.
1. When Do I Need to Get Insurance?
If you’re operating a business — even as a side hustle — you need insurance from the moment you start planning your new project. Public liability is a must if you deal with customers face-to-face. Product sellers? You’ll want product liability. Service providers? Think professional indemnity.
🧠 Tip: Talk to a broker early — before signing a lease or selling your first item — to avoid costly oversights.
2. Should I Register as a Sole Trader, Partnership, or Company?
Each structure has pros and cons. Sole traders are simpler and cheaper but carry more personal liability. Companies cost more but offer more legal protection.
🧠 It’s definitely worth chatting with your accountant or financial advisor before committing.
3. Do I Need to Register a Business Name or ABN?
Yes. If you’re not trading under your personal name, you’ll need to register a business name with ASIC. And almost all businesses need an ABN.
🔗 Register for an ABN or business name here
4. Do I Need a Business Bank Account?
If you’re a sole trader, it’s not required — but it makes life easier. If you’re a company, it’s a must. Keep personal and business transactions separate from the get-go.
🧠 Talk to your accountant about it while you are talking to them about your company structure
5. What Are My Tax Obligations?
Once your income hits $75,000, you must register for GST. You may also need to submit BAS statements and PAYG if you employ staff.
🧠 The ATO website is surprisingly helpful, especially their small business toolkits.
6. How Do I Pay Myself as a Business Owner?
If you’re a sole trader, you can draw from the business account. If you’re operating as a company, you’ll need to pay yourself a wage or issue dividends. It’s not quite as simple as “just transfer the money.”
7. What Sort of Marketing Should I Do?
Marketing doesn’t have to be fancy — just focused. Build a simple website, get on Google, and make sure you show up where your customers are. A Facebook page and Google Business profile are free and powerful starting points.
🧠 There are a number of reasonably priced marketing companies in your local area that understand the local market. Ask RSM Tasmania for a recommendation
8. What Kind of Records Do I Need to Keep?
You’ll need to keep receipts, invoices, and any documents related to income or expenses for at least five years. Cloud-based accounting software helps take the headache out of it.
🔗 ATO: Record Keeping for Business
9. Do I Need a Bookkeeper or Accountant From Day One?
Essentially – no. But they’re worth their weight in gold when it comes to setting things up properly. Even a one-hour session early on can help you avoid a huge financial messes later.
10. Can I Work From Home Without Insurance?
Most home and contents insurance WILL NOT fully, or even partially, cover business activities. If clients visit your home, or you store goods or equipment there, business insurance is a smart move.
Starting your own business can be one of the most exciting things you ever do — but it can also be risky if you miss a key step. At RSM Tasmania, we’re proud to be among the insurance brokers Hobart start-ups trust to help protect their future from day one.
🎯 Thinking of launching your own venture?
Let’s chat about how we can help you get your insurance and risk management sorted — without the jargon.
Remember, this article is general in nature and doesn’t take into account your specific objectives, financial situation, or needs. For advice tailored to your circumstances, have a chat with us at RSM Tasmania Insurance Brokers Hobart.
Talk to Roger Hosie and stay ahead with RSM Tasmania’s insights.
Call Now! (03) 6244 7854, or email .
