Australian Business Name Registration Scam
Have you received a letter like one of these?
Business Name
Online Business Registration
Head Office
Kellyville NSW 2155
Cost
$99 for 1 year
Business Name
Registry Pty Ltd
Head Office
Melbourne VIC 3000
Cost
$99 for 1 year
Business Name
Registration Pty Ltd
Head Office
Sydney NSW 2000
Cost
$99 for 1 year
These letters look very official, and will accurately register, or re-register, your business name. From that point of view they’re not entirely a scam.
These businesses are registered with ASIC to provide a business name renewal service. If you look close enough at the letter, you will see they are not ASIC and that they are a private provider.
In one sense this is the free market working. The government has seen fit to provide a way to outsource the re-registration of business names.
What we don't like about this is that it comes as a renewal notice, with all your business details. For example, the correct name, address and renewal date. Clearly the government has sold, or otherwise made available, your business details to these companies.
We've met many business owners in our advisory sessions who thought the letter was from the one and only place they can renew their business name and duly paid the $99.
People are not in the habit of receiving renewal notices from companies different to the provider they are with. If you have car insurance, an electricity bill or a membership subscription you expect, and do, receive the renewal notice from the business or organisation providing you with that service.
For some reason, these companies, who you did not initially register your business name with, are allowed to send you a renewal notice.
They pocket a tidy profit of $60 for each business that renews with them. Not a bad business to be in!
Business Name
Australian Securities & Investments Commission (ASIC)
Head Office
Federal Government
Cost
$39 for 1 year
ASIC, the Australian Securities & Investments Commission, is the official registrar of business names in Australia. ASIC provide an online portal to both register and re-register business names.
The standard fee through ASIC, for one year, is $39.
Avoid paying extra fees. Re-register your business directly with ASIC here.
