How to Register a Company in New Zealand: A Step-by-Step Guide

Registering a company in New Zealand is genuinely straightforward. The Companies Office online system is well-designed, the process takes about 30 minutes, and the fee is $116.75. You can have a registered company by the end of the day.

But the registration itself is the easy part. The decisions you make before you fill in the form — about shareholding, directors, company name, and tax registration — are the ones that matter. Getting them wrong creates problems that are expensive to fix later.

This guide walks you through the full process: what to decide before you start, how to complete the registration, and what to do immediately afterwards.

A company is not always the best starting point. If you are just testing a business idea, a sole trader structure costs nothing to set up and has almost no compliance overhead. A company makes more sense when:

• You want to separate your personal assets from business liability
• Your profit is high enough that the 28% company tax rate saves you money compared to personal rates
• You are bringing in a business partner or investor
• You need to look credible to larger clients or suppliers

If you are unsure, read our guide on when a sole trader should become a company before proceeding.

Your company name must be unique — the Companies Office will reject it if it is too similar to an existing registered company. A few rules:

• The name must end in "Limited" or "Ltd"
• It cannot be misleading or offensive
• It cannot imply a connection to the government or a professional body you are not part of

You can search existing company names at the Companies Office website before you apply. If your preferred name is taken, you will need an alternative ready.

One practical note: your company name and your trading name do not have to be the same. Many businesses register a generic holding company name (e.g. "Smith Holdings Limited") and trade under a separate brand name. Your accountant can advise on whether this makes sense for your situation.

Every company needs at least one shareholder. If you are the sole owner, you will hold 100% of the shares. If you are going into business with a partner, you need to agree on the split before you register.

A few things to think through:

Equal splits are simple but can cause deadlock. A 50/50 split between two shareholders means neither can outvote the other. This is fine when the relationship is good, but can become a serious problem if you disagree on a major decision. Consider whether one person should hold 51%.

Trusts as shareholders. Many business owners hold their shares through a family trust rather than personally. This can provide asset protection and estate planning benefits, but adds complexity and cost. Talk to your accountant before going down this path — it is much easier to set up correctly from the start than to restructure later.

Shareholder agreements. The Companies Act sets out default rules for how shareholders interact, but these defaults are not always what you want. A shareholder agreement lets you set your own rules — for example, what happens if one shareholder wants to sell, or what happens if a shareholder dies. If you have more than one shareholder, a shareholder agreement is worth the legal cost.

Every New Zealand company must have at least one director who:

• Is 18 or older
• Is not bankrupt
• Has not been prohibited from being a director
• Lives in New Zealand, or the company has at least one director who does (or a director from an approved country — Australia, UK, and several others qualify)

Directors are legally responsible for the company's compliance — filing annual returns, keeping proper records, and ensuring the company does not trade while insolvent. This is not a formality. Directors can be personally liable if these obligations are not met.

In most small companies, the owner is also the sole director. This is fine. Just be clear on what the role requires.

The Companies Office uses RealMe for identity verification. If you do not already have a RealMe login, you will need to create one at realme.govt.nz. This takes a few minutes and requires a New Zealand driver's licence or passport.

Go to companiesoffice.govt.nz and select Incorporate a company. Log in with your RealMe credentials.

You will be asked to provide:

• Company name — your preferred name and an alternative in case it is rejected
• Registered office address — this must be a physical address in New Zealand (not a PO Box). This address is publicly listed. Many business owners use their accountant's address as the registered office.
• Address for service — where legal documents can be served. Can be the same as the registered office.
• Director details — full name, date of birth, residential address, and whether they consent to being a director
• Shareholder details — full name, address, and number of shares held

The registration fee is $116.75 (as at 2025). Payment is by credit or debit card. Once paid, your application is submitted.

If your company name is approved and your application is complete, you will receive your New Zealand Business Number (NZBN) and company number within a few hours. In most cases, approval is same-day.

You will also receive a certificate of incorporation — save this. You will need it when opening a bank account.

Registration with the Companies Office is just the beginning. There are several more steps before your company is properly set up.

Your company needs its own IRD number — separate from your personal one. You can apply online through the IRD website or through your accountant. You will need your company number and NZBN.

Without an IRD number, you cannot pay tax, file returns, or register for GST.

If your company's turnover will exceed $60,000 in any 12-month period, you must register for GST. If you expect to turn over less than $60,000, registration is optional — but there can be advantages to registering voluntarily, particularly if you have significant business expenses.

GST registration is done through myIR on the IRD website. You will need your company IRD number.

Your company is a separate legal entity and must have its own bank account. Do not mix company and personal funds — this is one of the most common and costly mistakes small business owners make.

Most New Zealand banks offer business accounts. You will typically need:

• Your certificate of incorporation
• Your company IRD number
• Photo ID for all directors
• A completed bank application form

Get your accounting software in place before you start trading. Xero is the most widely used platform in New Zealand and integrates well with most banks and payroll systems. MYOB is a reasonable alternative.

Your accountant can set up your chart of accounts, connect your bank feed, and make sure GST is configured correctly from day one. Retrofitting this after months of transactions is time-consuming and expensive.

All New Zealand businesses are covered by ACC (Accident Compensation Corporation) for work-related injuries. As a company director who is also an employee of the company, you will be liable for ACC levies based on your earnings. ACC will contact you once your company is registered with IRD, but it is worth understanding your obligations early.

If you were previously a sole trader with an ACC CoverPlus policy, you will need to review this — your cover arrangements change when you incorporate.

Using your home address as the registered office. Your registered office address is publicly listed on the Companies Register. Many business owners prefer to use their accountant's address to keep their home address private.

Not having a shareholders' agreement. If you have more than one shareholder, a shareholders' agreement is essential. The default rules under the Companies Act are not designed for your specific situation.

Mixing personal and company finances. Once you have a company, keep the finances completely separate. Every time you pay a personal expense from the company account, you create a shareholder current account transaction that needs to be accounted for — and potentially taxed.

Not registering for GST early enough. If you cross the $60,000 threshold and have not registered, you are liable for GST on all sales back to the date you should have registered. The penalties for late registration can be significant.

Treating the company as a piggy bank. Money in the company is not your money — it belongs to the company. Taking money out requires either a salary, a dividend, or a repayment of a shareholder loan. Each has different tax implications.

The Companies Office registration fee is $116.75. That is the only mandatory cost.

However, the full cost of setting up a company properly is higher:

The accountant setup cost is worth paying. Getting the structure, GST, and accounting software right from day one saves significantly more than it costs.

No — you can register a company yourself through the Companies Office website without professional help. The process is designed to be self-service.

But having an accountant involved from the start is worth considering. A good accountant will:

• Help you decide whether a company is the right structure for your situation
• Advise on shareholding structure and whether a trust should be involved
• Register your company IRD number and GST
• Set up your accounting software correctly
• Make sure your first year of trading does not create tax surprises

At Eastmure & Associates, we work with new business owners across Christchurch and Canterbury to get their structure right from day one. If you are thinking about incorporating, get in touch — we are happy to talk through your situation before you commit to anything.

1. Decide whether a company is the right structure
2. Choose your company name and check availability
3. Decide on shareholders, shareholding split, and directors
4. Register at companiesoffice.govt.nz using RealMe login ($116.75)
5. Register for a company IRD number through myIR
6. Register for GST if turnover will exceed $60,000
7. Open a dedicated business bank account
8. Set up accounting software before you start trading

The registration itself is the easy part. The decisions around structure, shareholding, and tax setup are where it pays to get professional advice.