To open an Australian business bank account, the financial institution will require information and supporting documentation. New customers are usually required to provide the following documentation:
1 x primary photographic identification: Passport; driver’s licence; proof of age card with photo; Defense Force Identity Card; Firearms Licence issued under law; Foreign National Identity card with photo and Passport with photo; OR
Citizenship Certificate; Pension Card; Birth Certificate; local Drivers Licence without photo; Foreign Citizen Certificate and Birth Certificate; alternatively, one primary non-photographic and a secondary identification. This type of identification includes: Australian Taxation Notice (last twelve months); Notice recently (not older than three months) issued by a local government (electricity, rates); Notice issued by the Commonwealth, State or territory within the last twelve months; Australian Government issued Crown Safety Officer (Security Guard) identity card and Drivers Licence.
You will need to provide your business account details, such as an Australian Business Number, Australian Company Number or an Australian Business Number and the Certificate of Registration of Company, or Certificate of Incorporation, or certificate of Registration of Business Name or a letter from delegated authority for opening an account.
For trustees and trusts, you will be required to provide the Trust Deed. The application also requires the name of the proprietor or director and the names, dates of birth and addresses of all account signatories. The lender will conduct a search of the business’s name to verify the details.
You will be asked to provide the Tax File Numbers or Australian Business Numbers. The banks are obliged by law to deduct tax from interest earned where a Tax File Number, an Australian Business Number or a Tax File Number exemption was withheld. The bank is also obliged to deduct tax from interest earned to an account of a non-resident.
A business bank account can have multiple card holders. The cards can be held by non-authorized signatories or by primary cardholders who are signatories to the account. Withdrawal limits are per card per calendar day and are restricted to the maximum card limit and apply to purchases you make and cash withdrawals when you enter a PIN.
Transaction accounts offer overdraft facilities
An overdraft facility is an agreement which allows an account holder to use funds exceeding the amount on deposit. The banks usually charge an overdraft fee for accessing the overdraft facility.
You can compare the benefits of different accounts and choose an option that will suit your business best. It is always a good idea to get familiar with all the bank’s terms and conditions.