Turn your art into business
Turning your art into a business is one of the most rewarding moves you can make. If you’re searching how to start an art business in Australia, you’re in the right place, because it takes more than talent to make it work. The good news? Setting up an art business in Australia is simpler than you might think.
In this guide, you’ll learn exactly how to start an art business in Australia from choosing the right structure and registering for an ABN or GST to pricing your artwork, managing bookkeeping, and selling through consignment or eCommerce platforms.
By the end, you’ll know how to set up your business the right way, stay compliant with the ATO, and turn your creativity into a sustainable source of income.
What does an art business look like in 2025?
“Art business” isn’t one-size-fits-all. Your model depends on your skills, audience, and goals, whether you’re selling originals, scaling prints, or running a creative studio. Each path comes with distinct revenue streams and operational needs.
Common business models include:
- Original artworks: Sell one-off pieces directly, via galleries, or at art fairs and markets.
- Prints & merchandise: Offer limited editions or print-on-demand products (posters, apparel, homewares).
- Commissions: Create bespoke work for private clients, brands, or public spaces.
- Workshops & experiences: Teach online or in person—courses, live sessions, or retreats.
- Licensing: License artwork for campaigns, packaging, products, and media.
- Studios & agencies: Collaborate with other creatives or manage client projects at scale.
What to set up behind the scenes
- Legal: Consignment and commission agreements, usage/licensing terms, copyright ownership.
- Compliance: Online sales rules (consumer law, refunds, privacy, data), platform policies.
- Finance and tax: Invoicing, income tracking, GST obligations in Australia (and any applicable foreign taxes if you sell to overseas customers), royalties, and deductions.
The “right” structure is the one that aligns with how you want to create, sell, and grow, today and as your practice evolves.
7 steps to start an art business in Australia
Step 1: Choose the best business structure for your art business
The structure you choose affects how you pay tax, manage liability, and handle admin, so it’s worth getting right from the start. Most Australian artists begin as sole traders and switch to a company (Pty Ltd) once they’re earning more, hiring, or taking on higher-value projects.
Tax, liability and admin: How structures differ
Factor | Sole trader | Company (Pty ltd) |
Setup cost | Low | High |
Liability | You’re personally liable for debts | Limited liability, protects personal assets |
Tax flexibility | Pays personal tax rates | Company tax is 25% for eligible base rate entities and 30% for others (not a single flat rate). |
Admin load | Light | Higher (ASIC compliance + company records) |
Best for | Testing demand, selling occasionally | Scaling, hiring, wholesale, or high-value commissions |
If you’re still testing the market or selling occasionally, start as a sole trader, it’s simple and low-cost. If your art business is growing into galleries, wholesale, or large commissions, consider a company structure for better protection and tax flexibility.
Step 2: Get your registrations sorted
Before you start selling, teaching, or licensing your art, make sure your business is set up legally and ready to trade. These registrations establish your legitimacy, help you claim deductions, and keep you compliant with the ATO.
1. Australian Business Number (ABN)
An Australian Business Number is essential for issuing invoices, buying and selling as a business, and claiming tax deductions.
- Without an Australian Business Number, other businesses must withhold PAYG tax from your payments.
- Apply for an ABN through the Australian Business Register, it’s free and usually processed instantly.
2. Business Name
If you trade under a name other than your own (for example, “Luna Studio” instead of “Alex Smith”), you must register it with ASIC.
Registration provides national recognition. Banks typically require evidence of a registered trading name if you want the account in that name.
Read more: How to Choose Business Name That Stands Out
3. Goods and Services Tax (GST)
You must register for GST once your annual or projected turnover reaches $75,000.
- Voluntary registration can be smart for artists with high material, printing, or framing costs since it allows you to claim input tax credits.
- Once registered, you’ll need to charge 10% GST on sales and lodge Business Activity Statements (BAS).
4. Tax File Number (TFN)
If you’re setting up as a company, you’ll need a separate TFN for the entity in addition to your personal one. This ensures your business income and expenses are reported correctly.
5. PAYG Withholding and Superannuation
Register for PAYG withholding if you have employees (or a voluntary agreement with a contractor), it doesn’t automatically apply to all contractors.
Super is mandatory for employees and may also apply to individual contractors mainly paid for their labour (check SG rules).
Pro Tip:
Registering everything upfront keeps your art business compliant, credible, and ready for growth, whether you’re applying for grants, joining galleries, or working with corporate clients.
Sole Trader vs Company: Which Business Structure Is Right for You in Australia?
Step 3: Set up banking, bookkeeping and inventory
Separate your money from day one. Open a business bank account and run all sales/expenses through it, this protects you at tax time.
Simple stack to start:
- Xero for bookkeeping and BAS
- Receipt capture (for supplies, shipping, framing)
- An inventory/COGS approach for materials and prints:
- Track materials (canvas, clay, paper, pigments, resin, framing, packaging)
- Track outsourced printing (giclée, screen print, photographic)
- Track marketplace fees (Etsy, Bluethumb, galleries)
- Record shipping & postage accurately
Step 4: Price your art
Pricing art isn’t about guessing, it’s about balancing cost, value, and positioning. A strong pricing method builds confidence, consistency, and profitability.
Art type | How to price it |
Originals | Add up your direct costs (materials, framing), your time, and a fair share of overheads (studio rent, insurance, software). Then apply a profit margin that reflects your skill, demand, and stage of career. |
Limited edition prints | Decide your edition size and issue a Certificate of Authenticity. Price according to scarcity, production quality, and your reputation. Track all unit costs: paper, ink, lab fees, packaging, and shipping, so you know your true margins. |
Commissions | Define a clear scope of work, brief milestones, number of revisions, delivery format, and timeline. Take a deposit (usually 30–50%), set a kill fee for cancellations, and clarify usage or licensing rights if the work will appear commercially. |
Step 5: Build your website, online store, and key policies
Most art businesses rely on an online presence, whether to sell, showcase, or connect with collectors. A professional website or store builds trust, simplifies sales, and protects you legally.
Area | What you need |
Website Terms and Conditions | Set clear expectations for visitors and customers. Include site usage rules, intellectual property notices, payment terms, and any limitations of liability. |
Privacy policy | You must have one if you’re an APP entity under the Privacy Act, usually turnover > $3m, or you fall into an exception (e.g., health services, trading in personal information, Commonwealth contracts).
If you’re not an APP entity, a privacy policy is best practice (not legally mandatory as of 2025). |
Ordering, shipping & returns | Outline how customers place orders, delivery timeframes, refund eligibility, and warranty conditions. This helps you comply with Australian Consumer Law and manage customer expectations |
Third-party platforms | If you sell through marketplaces (e.g., Etsy, Bluethumb) or social platforms, review their seller policies carefully and make sure your own terms align, especially around refunds, shipping, and IP rights. |
Step 6: Use the right contracts for galleries, licensing and commissions
As your art business grows, you’ll likely earn through multiple income streams, from gallery sales to commissions and brand collaborations. Each one needs the right contract to protect your rights and ensure you’re paid fairly.
- Galleries and retailers: Use a Consignment Agreement when placing artworks for sale. It should clearly outline pricing, commission rates, payment timelines, responsibility for damage or loss, and terms for unsold returns.
- Licensing to brands: Formalise every deal with a Copyright Licence Agreement that specifies how your artwork can be used, in what territories, for how long, and under what exclusivity terms. Include details on fees or royalties.
- Commissions: Set expectations upfront. Define the brief, milestones, approval process, number of revisions, and payment schedule. Include a deposit and cancellation clause to manage risk.
- Suppliers and printers: Protect your production quality and intellectual property. Agree on turnaround times, quality standards, liability for errors, and ownership of final files or artwork.
Having written agreements for each sales channel isn’t bureaucracy, it’s business protection. The right contracts prevent misunderstandings, safeguard your IP, and give every collaboration a professional foundation.
Step 7: Get your finances and tax in order
Strong financial systems and basic risk protection are what turn your art into a sustainable business. Get these foundations in place early, they’ll save you time, stress, and money later.
- Open a business bank account: Keep business and personal finances separate. Route all income and expenses through your business account to simplify bookkeeping, BAS, and cash flow tracking.
- Set up bookkeeping: Use cloud software like Xero to record income, expenses, and GST automatically. Keep digital receipts and reconcile your transactions monthly.
- Understand GST obligations: You must register for GST once your annual turnover (actual or projected) exceeds $75,000. Voluntary registration can also make sense if you have high material or production costs and want to claim input tax credits.
- Review your insurance: If you sell physical goods, exhibit in public, or host workshops, consider public liability and product liability insurance. These protect you against accidents, damages, or claims.
- Stay on top of renewals: Add calendar reminders for your ABN details, business name renewal, insurance policies, and if you run a company, ASIC annual reporting.
Step 6: Meet the legal obligations, documentation, and risk management
Running a childcare business in Australia involves more than approvals and policies — it also means complying with broader employment, privacy, and consumer laws that apply to all businesses.
1. Employment and workplace laws
Once you hire staff, you’ll need to follow the Children’s Services Award or Educational Services Award, depending on your service type. This covers pay rates, rosters, leave entitlements, and overtime. You’re also required to:
- Maintain a safe workplace under Work Health and Safety (WHS) laws
- Provide training for manual handling, hygiene, and emergency response
- Keep written employment contracts outlining roles, pay, and conduct expectations
2. Consumer protection and transparency
Your marketing, enrolment terms, and fee structure must comply with the Australian Consumer Law (ACL). Avoid misleading claims, clearly communicate your pricing, and ensure your enrollment terms are fair and transparent.
3. Privacy and data protection
Childcare services handle sensitive personal data, including health and family information. You must:
- Publish a clear Privacy Policy explaining what you collect and how it’s used
- Obtain written consent for photos, medical details, and emergency contacts
- Store all records securely and restrict access to authorised staff only
4. Essential legal documents
Having the right documents helps prevent disputes and maintain compliance. These typically include:
- Parent or guardian enrolment agreement
- Staff handbook and employment contracts
- Privacy policy and website terms (if you take online enquiries)
- Excursion and consent forms
- Supplier or service agreements for cleaning, catering, or maintenance
5. Insurance and risk management
At a minimum, childcare providers should hold public liability, workers’ compensation, and property insurance. These don’t replace strong policies, they protect you when things don’t go as planned.
How Sleek can help you start your childcare business
Starting a childcare business isn’t just about creating a nurturing space, it’s about getting the registrations, approvals, payroll, tax, and compliance right from day one. That’s where Sleek takes the admin load off your hands.
You’ll get:
- Fast, stress-free setup: We handle your company registration, ABN, GST, and business name so you’re ready to operate sooner.
- Ongoing bookkeeping and accounting: Stay on top of your finances, manage cash flow, and lodge BAS and tax returns without hassle.
- Expert tax guidance: Maximise eligible deductions, from equipment and fit-outs to utilities and staff training, while staying fully compliant with ATO requirements.
- Payroll and superannuation management: Simplify staff payments and ensure compliance with Fair Work and superannuation laws.
- Transparent pricing: No hidden fees, just everything you need to run your childcare business with confidence.
Whether you’re opening your first family day care or building a multi-centre brand, Sleek makes setup, compliance, and accounting seamless, so you can focus on supporting families, not managing paperwork.
FAQs on how to start an art business
If you’re testing the market or working solo, start as a sole trader, it’s simple and low-cost.
If you’re expanding into multiple income streams (e.g., licensing, workshops, staff, or gallery representation), a Pty Ltd company provides better liability protection, clearer tax separation, and credibility when partnering with brands or retailers.
You automatically hold copyright in any original artwork you create. To strengthen your protection:
- Register your trade mark (name or logo) if you’re building a brand.
- Use Copyright Licence Agreements when letting others use your work for marketing, merchandise, or packaging.
- Include IP clauses in contracts with photographers, printers, or collaborators to clarify ownership.
If you’re a sole trader, your drawings from business income are not wages, you simply pay tax on total profit through your individual tax return.
If you run a company, you can pay yourself a salary (PAYG) or dividends. Each option has tax implications, so speak with your accountant to plan efficiently around cash flow and ATO obligations.
Read more: How to pay yourself as a business owner
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