Everything a sole trader needs to get going
Plain English, no jargon, no upsell.
What a sole trader actually is,
what IRD expects from you,
and how to claim your name before someone
else does.
Three common starting points
Should I be a sole trader?
What the structure means, who it suits, and the one risk that catches people out.
Ready to goHow do I actually start?
There is no form to fill in. Here is what you do instead, in order.
Already tradingWhat do I owe, and when?
Income tax, GST, ACC and provisional tax, with the dates that matter.
All of it, in order
Read straight through, or jump to what you need.
Getting started
What is a sole trader?
The simplest structure in New Zealand, and what unlimited liability really means.
How to start
IRD, NZBN, bank account, licences. Seven steps, most of them free.
Sole trader vs company
Cost, risk, tax and credibility compared side by side.
Choosing a business name
Trading names, the Companies Register, trade marks, and checking it is free.
Startup checklist
Fourteen things to tick off. Saves your progress in your browser.
Tax & money
Tax basics
One IR3, your own IRD number, and how provisional tax sneaks up in year two.
GST
The $60,000 rolling threshold, and when registering early makes sense.
Expenses & deductions
Home office, vehicle, tools, phone. What you can claim and what you cannot.
ACC & insurance
CoverPlus, CoverPlus Extra, and the cover ACC does not give you.
Invoicing & getting paid
What must be on an invoice, and how to chase a late one without burning the client.
Your name online
Your name is the one thing you cannot get back
Almost everything else about starting up is reversible. You can change accountants, change your prices, even change structure from sole trader to company. But if someone else registers the domain that matches your business name, your options are to pay whatever they ask, or start again with a different name.
A .co.nz or .nz domain costs less than a couple of coffees a month, and it is what your email address, your invoices and your van signage all hang off.
What you get for that
Quick answers
Do I have to register as a sole trader in New Zealand?
There is no sole trader register and no registration form. You become a sole trader by starting to trade. What you do need to do is tell Inland Revenue you are earning self-employed income, so your income tax and ACC are handled correctly.
Can I use a business name that is not my own name?
Yes. A sole trader can trade under any name that is not already taken or misleading, often written as “Jane Smith trading as Kaitiaki Landscaping”. The name itself is not registered anywhere by default, which is exactly why securing the matching domain matters.
When do I have to register for GST?
When your turnover passes $60,000 in any rolling 12-month period, or when you reasonably expect it to in the next 12 months. It is based on turnover, not profit.
Do I need a website to be taken seriously?
Not always. Plenty of tradies and consultants get all their work through referrals and a Facebook page. What clients do notice is your email address. A domain with a mailbox gives you a professional address without building a site at all.
Can I switch to a company later?
Yes, and many people do once income or risk grows. Owning your domain name from day one makes the switch far simpler, because your email address, invoices and signage do not have to change.