Setting up an NDIS Business: Sole Trader vs Company

Should you register as a Sole Trader or a Company? The answer depends on your risk profile and growth plans.

Sole Trader

Pros: Cheap to set up, low admin (no ASIC fees), simple tax return.
Cons: Unlimited liability. If a participant sues you for an injury, your personal house/assets are at risk.

Pty Ltd Company

Pros: Asset protection (limited liability). Looks more professional to Plan Managers. Tax rate is capped at 25% (for small business), allowing you to reinvest profits.
Cons: Higher setup costs and annual accounting fees.

The Verdict

If you are just doing a few shifts a week: Sole Trader.
If you plan to hire staff or turn over >$100k: Company Structure is safer.