How Long Does It Take to Set Up a Business in New Zealand?

Step 1: Choose Your Business Structure

Time required: 1 hour - 1 day (research and decision)

Structure	Best For	Setup Time
Sole Trader	Freelancers, simple businesses	1 day
Partnership	2+ owners, shared liability	1-3 days
Limited Company (Ltd)	Limited liability, credibility	30 mins - 1 week
Look-Through Company	Small companies, tax benefits	1-2 weeks

For most businesses, a Limited Company (Ltd) provides the best protection and credibility.

Step 2: Register Your Company

Time required: 30 minutes (instant processing)

Online Registration (Companies Office)

• Time: 10-30 minutes to complete form
• Processing: Instant approval in most cases
• Cost: $115.92 online ($135.92 paper)
• What you need: Director details, registered address, shares structure

Name Reservation (Optional)

If you want to secure a name before registering:

• Cost: $10.22
• Duration: Reserved for 20 working days
• Processing: Usually same day

Step 3: Tax Registrations

Time required: 1-3 days

IRD Number

Your company automatically gets an IRD number when registered. You'll receive it within 1-2 business days in your RealMe/myIR account.

GST Registration

• When required: If turnover exceeds or will exceed $60,000/year
• Registration time: 10-15 minutes online
• Processing: 1-2 business days
• Backdating: Can backdate up to 6 months if needed

PAYE (If Hiring Employees)

• Registration: Through myIR
• Processing: Usually same day
• Note: Must register before paying first employee

Step 4: Business Bank Account

Time required: 1-5 business days

Bank	Typical Time	Process
ANZ	1-3 days	Online + ID verification
BNZ	1-3 days	Online + in-branch option
Westpac	2-5 days	In-branch appointment
ASB	1-3 days	Online or in-branch
Kiwibank	3-5 days	In-branch usually required

Documents Needed

• Certificate of incorporation
• Company number (NZBN)
• Director ID (driver's license or passport)
• Proof of address for directors
• Company constitution (if applicable)

Step 5: Essential Business Setup

Time required: 1-2 weeks

Business Insurance

• Quote time: Same day online
• Activation: Immediate to next day
• Types to consider: Public liability, professional indemnity, contents

Shareholder Agreement (Multi-Owner)

• DIY template: 1-2 days
• Lawyer-drafted: 1-2 weeks
• Cost: $500-3,000 for lawyer

Employment Agreements (If Hiring)

• Template-based: 1-2 days
• Custom drafted: 3-5 days
• Required: Must provide written agreement before employee starts

Additional Requirements (Industry-Specific)

Licensed Industries

Some industries require licenses before operating:

Industry	License Required	Time
Real Estate	REA License	2-4 weeks
Electrical	EWRB Registration	2-6 weeks
Building/Construction	LBP License	4-8 weeks
Financial Services	FMA License	3-6 months
Alcohol Sales	Alcohol License	2-4 months
Food Business	Food Control Plan	2-4 weeks

Commercial Premises

• Finding premises: 1-4 weeks
• Lease negotiation: 1-4 weeks
• Fit-out: 2-12 weeks
• Resource consent (if needed): 4-12 weeks

Timeline Examples

Example 1: Online Freelancer (Sole Trader)

Example 2: Standard Limited Company

Example 3: Café/Restaurant

When to Use a Business Lawyer

Consider getting legal help for:

• Multiple shareholders: Shareholder agreements are essential
• Complex structures: Trusts, holding companies
• Licensed industries: Regulatory compliance
• Commercial leases: Review before signing
• Franchise purchase: Complex legal obligations
• Intellectual property: Trademarks, patents

Common Mistakes That Cause Delays

• Wrong business name: Check availability before deciding
• Missing director consent: All directors must consent
• Incorrect registered address: Must be physical NZ address
• Bank account rejection: Incomplete documentation
• Starting without GST: If over $60k threshold
• No employment agreements: Required before employees start