A public company limited by guarantee is a legal structure commonly adopted to establish and operate a charity in Australia, also known as CLG. CLGs are well suited for the carrying on of non-profit undertakings, as they prohibit the payment of dividends and the issue of shares (to prevent a single person from gaining a controlling stake or profit from share sale) and limit each member to a single vote. CLGs in our experience are the most common entity used by persons looking to establish and register a charity.


Establishing a charity is a daunting task. An organisation looking to register as a charity must must jump through a number of regulatory hoops, dealing with multiple government bodies.


If you are looking to establish a charity using a CLG, you must first consider whether the organisation you are seeking to establish has a charitable purpose. The term “charitable purpose” is defined in the Charities Act 2013 (Cth) as meaning any of the following:


  • advancing health;
  • advancing education;
  • advancing social or public welfare;
  • advancing religion;
  • advancing culture;
  • promoting reconciliation, mutual respect and tolerance between groups of individuals that are in Australia;
  • promoting or protecting human rights;
  • advancing the security or safety of Australia or the Australian public;
  • preventing or relieving the suffering of animals;
  • advancing the natural environment;
  • other similar purposes ‘beneficial to the general public’; and
  • promoting or opposing a change to any matter established by law, policy or practice in the Commonwealth, a state, a territory or another country (where that change furthers or opposes one or more of the purposes above)


The first step prior to registering your CLG with the Australian Charities and Not-for-profits Commission (ACNC) and applying for deductible gift recipient (DGR) status with the Australian Taxation Office (ATO), you must first register your CLG with ASIC. This is done by lodging form 201.


If you are looking to establish a charity using a CLG, PGG Online can assist you in registering with ASIC. Our process streamlines this process for you. Our straightforward form is easy to complete and can be filled out in just minutes.


After you have completed your application, our team reviews your charitable objects to ensure they satisfy ASIC’s requirements, and we lodge form 201 for you. If your registration is subject to manual review by ASIC, we can communicate with their Electronic Company Registration (ECR) Support team for you, to ensure that your CLG is approved by ASIC.


Allow the team at PGG Online to take the complexity and stress out of registering your public company limited by guarantee by starting an application with us today.