Doing Business in Australia

At a recent event hosted by HURST and Barclays, Robert Lissauer, Director for Taxation & International Business at Hall Chadwick, presented to companies seeking to establish a presence in Australia, encouraging delegates that a fact-finding visit should be a fundamental part of a company’s research.

Robert, who specialises in advising on tax and international business matters, was the keynote speaker at the Doing Business in Australia event, which was held at Barclays’ offices in Spinningfields, Manchester.

Australia continues to be a very sought-after destination for UK businesses to operate, and the recently signed Free Trade Agreement enhances the case for strategic expansion for UK businesses.

Fact-finding Visit

Robert told the audience, which included senior executives from sectors such as financial services, healthcare, manufacturing and consumer goods, “Put in place a well-considered plan if you are looking to expand into the Australian marketplace. Hop on a plane and go see what’s happening in your markets, see what your competitors are doing and understand the local business dynamic. It’s a fundamental part of your research, and will be the best money you have spent. Get down there and kick the tyres.”

Fair Trade Agreement (FTA)

He said the FTA between the UK and Australia would usher in a tremendous amount of opportunity. Trade between the nations is expected to grow by over 50 per cent over the next 15 years.

The agreement will make obtaining visas to work in Australia easier for UK professionals, will remove tariffs on all UK exports and will give businesses and consumers greater access to competitively-priced goods and services, new technologies and innovative practices. Growth sectors in Australia include healthcare, infrastructure, education, e-commerce, defence, entertainment, technology, scientific and technical services.

Australia is a country of over 26 million people and is the world’s 13th largest economy. Robert went on to say that Australia has a ‘pretty resilient’ economy. In particular, its service and technology sectors are strong and it is thriving as an online marketplace. Australians are ‘early adopters’ and very accepting of new tech and fashion. He also said Australia benefits from being part of the Asia-Pacific (APAC) region. He pointed out that, by 2050, two-thirds of global production and consumption will be in this part of the world.

Getting Set Up

Australia has a strong legal system, which provides the protection a business may need, and a highly-regulated tax and corporate environment. The immigration process involves some administrative work but is not difficult to navigate with a good visa specialist, and setting up a company structure is ‘pretty straightforward’, Robert added.

Banking can be a little cumbersome due to anti-money laundering and security requirements and checks, and human resources regulations may differ from those in force in the UK. Robert said it was also important for anyone looking to set up an operation in Australia to be aware of on-costs, such as mandatory pension plans for employees.

However, he said a properly-structured venture would find it easy to enter the market and would find it easy to conduct business. “Australia is such a vibrant marketplace, which is being enhanced because of the free trade agreement,” he said. “It’s an interesting time with lots of opportunity.”

If you missed the Hurst event in Manchester, but see opportunities to expand your clients' reach into the Asia Pacific region, PrimeGlobal members can utilize the Business Referral service, to meet your clients' international needs.

Furthermore, the opportunity to attend in-person and virtual events is open in any region to all members. The next Asia Pacific Tea and Connect event takes place on July 27th, and as a member, you can register for events in any of the four regions where you can meet member firms who may be the perfect match for your next business collaboration.