Why every foreign registered company in Australia needs an ASIC local agent

Registering your business in Australia as a foreign company can open up tremendous opportunities: a stable economy, a skilled workforce and access to a vibrant Asia-Pacific region. However, operating as a foreign company in Australia requires compliance with the Corporations Act 2001, and one of the most crucial obligations is the appointment of a local agent with the Australian Securities and Investments Commission (ASIC).

By Ro Elvinia

Our team at ABN Australia often gets questions from international clients about this obligation. In this article, we will explain who ASIC local agents are, why you need one and what responsibilities they hold.

What is an ASIC local agent?
An ASIC local agent is your authorised representative in Australia, someone ASIC can contact, serve legal documents to and hold accountable if something goes wrong. If you are a registered foreign company operating in Australia, appointing an ASIC local agent is not optional. It is a legal requirement.

More than a mere regulatory requirement, your ASIC local agent serves as a crucial safeguard for your compliance obligations. This agent plays a pivotal role in keeping your company aligned with Australian corporate laws.

Why does ASIC require foreign companies to appoint an ASIC local agent?
When international businesses establish operations in Australia, ASIC wants to ensure there is always someone onshore who:

  • Understands local compliance requirements
  • Is accessible for legal service of documents
  • Takes responsibility for meeting ASIC deadlines

From ASIC’s perspective, the ASIC local agent is a designated person or company in Australia who they can rely on, especially when the company’s directors and decision-makers are overseas. This structure ensures smoother communication, quicker resolution of issues and accountability in the event of non-compliance.

Who can be an ASIC local agent?
The good news is that you have options, but there are strict criteria. Your ASIC local agent must be:

  • An individual resident in Australia, or
  • A company incorporated in Australia such as ABN Australia, and
  • Authorised to accept legal documents and notices on your behalf

Many foreign companies choose to appoint an experienced corporate services firm, such as ABN Australia, to serve as their ASIC local agent. This ensures not only that ASIC’s formal requirements are met but that the business is supported by a team who truly understands the local landscape.

How is an ASIC local agent appointed?
Appointing an ASIC local agent is a formal process. It must be properly documented and lodged with ASIC.

There are two standard ways to appoint your local agent:

  • By Memorandum of Appointment – typically using ASIC Form 418
  • By Power of Attorney – issued by or on behalf of the foreign company

If a third party (such as your legal adviser) submits this on your behalf, you will also need to lodge:

  • Form 403 – verifying that the third party is authorised to make the appointment
  • Form 404 – if you are replacing an existing agent

A foreign company can appoint more than one ASIC local agent at the same time, though each will carry the same responsibilities.

What are the responsibilities of an ASIC local agent?
This role carries significant legal responsibilities. The ASIC local agent is personally liable for ensuring that your foreign company complies with its obligations under the Corporations Act 2001.

Key responsibilities include:

  • Monitoring ASIC filing deadlines for your company
  • Preparing and lodging financial statements or annual returns at least once every calendar year
  • Ensuring that no more than 15 months pass between financial statements
  • Lodging financials within one month of the company’s annual general meeting (if held)
  • Receiving and managing service of legal documents and notices
  • Notifying ASIC of changes to the company’s details, structure or appointments

If your company fails to meet its obligations, the ASIC local agent may be held personally liable and may face penalties. This is why appointing a competent and experienced ASIC local agent is essential.

What if your ASIC local agent stops acting?
If your local agent stops acting for your company, ASIC must be notified immediately. You are required to appoint a new agent without delay by lodging Form 404.

Having a gap in representation can create compliance risks, expose your company to penalties or affect its ability to legally operate in Australia. That is why it is important to choose an ASIC local agent who is reliable and equipped to support your business over the long term.

Why choose ABN Australia as your ASIC local agent?

As your ASIC local agent, we take a proactive role in protecting your business, ensuring your obligations are met and your reputation in Australia remains strong.

By choosing us, you can benefit from:

  • A dedicated, in-house team of compliance and accounting professionals
  • Proactive monitoring of ASIC deadlines and requirements
  • Full support with financial reporting, ASIC lodgements and company updates
  • Confidentiality, integrity and a commercial mindset tailored to international business
  • Access to a full suite of integrated services including tax, payroll and corporate secretarial

With almost five decades of experience supporting companies, we understand the unique challenges you face – and we know how to simplify them.

If you are ready to appoint or seek to replace your current ASIC local agent, ABN Australia is here to help. We can guide you through the appointment process, prepare and lodge all required forms and ensure your company remains compliant year-round.

Let us make it simple. Contact us today to discuss your requirements.

Published: 06th June 2025 | Last updated: 06th June 2025