Setting up an Online Business in Australia in 2024: A Step-by-Step Guide

setting up an online business in australia

The fact that online businesses are easier and cheaper to run than physical alternatives makes it a good enough reason to give it a go. Not to break it to you, but starting your online journey is just the tip of the iceberg.

We’ll provide you with useful resources for setting up an online business in Australia in 2022, as well as recommend some user-friendly platforms that’ll help you stand out.

How to Start an Online Business in Australia?

There are at least two reasons why you should jump on the online business train:

Now, before we start explaining the steps for setting up an online business in Australia, these are the questions you should ask yourself:

  • Is there a market for your product/service?
  • Will it be challenging to develop your idea?
  • Is it financially viable?
  • Who’s your competition?

Checklist for Starting Your Business

If you’re serious about starting an online business in Australia, these are the steps you should be following:

  • Choose your business structure–There are seven options and we advise you to look into them carefully on the website of Australian government.
  • Register your business–Sign up for a unique 11-digit Australian Business Number (ABN) via their official website and register your business name (check if it’s available on ASIC).
  • Check if you need a license—Depending on your business type, you may need special permits. Check Australian Business License and Information Services for more.
  • Register for taxes–You can only figure out so much by yourself, so it’d be best to consult with an accountant to avoid any penalties.
  • Financing–Choose between bootstrapping, debt or equity financing, or look into official support programs in Australia and business loan options from banks.

Note: ABN allows you to claim taxes, send invoices, apply for grants, and secure a domain. 

How to Set up Your Online Shop?

Not all businesses are the same, and beginnings are tough, especially if you’re doing it from scratch, and whether it is a home business or you’re setting up an office, there are a few requirements to follow.

We get it if you don’t want to invest as much right from the start, but we advise hiring a professional when possible. Until that day comes, here’s your starter pack and software recommendations that’ll help you get off the ground:

Build a website

You’d want to go with the a.com.au option, which you can only obtain if you have registered your business. Make sure to also choose an SEO friendly domain name to help your target customer find you with ease, as well as a good web designer as 94% of a website’s first impressions relate to its design and visual appeal.

Keyword research

Researching and analyzing keywords will ensure your content finds your customers and vice versa. This is an ongoing process that’ll give insight into current trends. If you’re not as familiar with SEO, consider hiring a professional.

SEO-friendly website structure

Put newly found keywords into practice with a simple yet sufficient website structure–Home page, Services page, About Us, and Contact should be the core of it. Then, as you develop your business, your website can follow and become more complex.

Targeted content

You will need content for your defined pages, but not just any content–again, use the keywords to tackle relevant topics in your niche. This way, you’re making sure the customers will come back to your website for more helpful information.

Audit your website

Examine your pages for any faults that could negatively impact your SEO ranks, such as broken links, technical issues, and other mistakes. That will show you if your website is optimized to reach your traffic goals or needs more work.

Submit it to Google

The final step is to publish your sitemap on Google Search Console. This way, ‘Googlebot’ will scan your pages to index them and determine your position, but it’ll also search for broken links, updates, and more. Congrats, now your website will show on search results!

P.S. Email marketing can be a great way to improve conversions, boost sales, and generate more business to your online store. Therefore, you should consider using the help of a powerful provider of marketing automation.

Remarketing is another great way to increase conversions for your business using online advertising. You’ll bring more leads back to your business if you invest in this method.

Note: Keep in mind there are some legal notices that should be a part of your website, such as Disclaimers, Privacy Policy, and Terms & Conditions.

How to Start Ecommerce Business in Australia?

The benefits of eCommerce are many–if done correctly, you can expand your reach beyond your location. Moreover, it’s open 24/7, which means you have at least eight more hours to attract customers compared to physical stores. The best part for you as an owner is–this model is cost-effective, meaning it doesn’t require as much investment for starting and maintaining.

Are you convinced yet? Good, now let’s move on to the necessary steps that’ll help your eCommerce business get up and running.

  • Choose what products to sell–When starting an eCommerce business, the best advice is to choose a niche that huge brands do not dominate. Build your target audience by offering them unique, meaningful products, and you’ll win their attention in no time.
  • Find a supplier–Now that you have an idea of what you want to sell, think about where you’re going to get those items. Make best friends with Google and do your research. Suppose you’re the one who’s going to be producing the goods, even better. However, consider how much time making the products will take and how much your business can grow over time. Other options include manufacturers, wholesalers and drop shippers.
  • Set up your eCommerce business–Now comes the fun part. For setting up an eCommerce business, you’re going to have to come up with a name and logo. Register your domain name, choose your favourite platform to build a website, add and organize your products, and connect it to marketplaces to maximize the profit your audience reach.
  • Establish your brand and start marketing–This will take time and devotion but will bring you so much joy when your eCommerce business finally gets recognized and loved by customers. You’ll get to that point by promoting your brand on multiple channels and building trust with successful purchases, inquiries, and returns.

User-friendly Ecommerce Platforms

For businesses in Australia, these four platforms turned out to be the most optimized, even for novice users:

  • Shopify – Hosts more than 1,700,000 businesses and has every tool you need for running an online store, as well as suppliers with whom you can connect with.
  • Magento – Adobe multi-channel ecommerce platform for B2B and B2C, convenient for creating site content and promotion, with endless personalization possibilities.
  • WooCommerce –  WordPress-based eCommerce platform you can connect to your website just like any other plugin. It includes many extensions, as well as safe payments.
  • PrestaShop – Has a vibrant and user-friendly interface, works with over 300,000 merchants and includes future-oriented, unique features.

These platforms are built intuitively so that any user can set up their online store without additional help from developers. However, if you need some help during the process, you can take advantage of their customer support.

You may be interested to implement some banking features like PayID, that ease the transactions B2B, and allows you to receive payments from consumers quickly, easily, and securely.

Bottom Line

Setting up an online business doesn’t seem that scary. Nowadays, if you just put in extra effort to read the legislative frame and catch up with current practices, you should feel ready enough to give your big idea a go finally.

Make sure to follow all the steps we mentioned in this guide and give yourself time to explore the eCommerce platforms we recommended. Good luck!

FAQs:

1. Do I need a business license to sell online in Australia?

It depends on what kind of business you’re operating. For example, if you’re selling alcohol or playing music, you’ll need special licenses. Every business in Australia needs to have a registered name and an ABN to pay taxes, send invoices, apply for grants and more.

2. How do I legally start an online store?

This guide provided essential Australian legislative sources you should look into. We also listed the most important steps, such as choosing your business structure, registering your business, and more. 

3. How can I make money from home in Australia?

One way to make money from home is to develop an idea for an online business, such as selling goods in an online store or dropshipping.

4. How much money do you need to start an online shop?

For starters, you might need to pay for an online shop subscription, for example, if you choose a business model where you don’t have to own the inventory. In this guide for setting up an online business in Australia in 2022, we mentioned several beginner-friendly eCommerce platforms.

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