Short answer: If ASIC has deregistered your company, it no longer legally exists. Money in its bank account and property in its name vest in ASIC, its business names are cancelled, and it can’t trade or borrow. Former directors can usually apply on Form 581 to reinstate it. Once reinstated, the company is treated as if it was never deregistered.
What does “deregistered by ASIC” actually mean?
Deregistration is the end of a company as a legal person. Once ASIC takes it off the register, the company can’t sign a contract, hold a bank account, own property or take out a loan. It simply isn’t there any more.
Most owners find out the hard way. A supplier payment bounces, the bank freezes the account, or a lender runs a company search and the application stops dead. Usually nobody decided to close anything. A fee notice went to an old address or an inbox nobody reads, and the months went by.
Two statuses matter. Strike-off in progress means ASIC has started the process, but the company is still registered and you can still stop it. Deregistered means it has happened, and the fix is reinstatement.
If the business is sound apart from this, it is usually fixable. It just isn’t quick, and it has to come before anything else, including a loan.
How a company ends up struck off
The most common reason, according to ASIC, is simple: the annual review fee hasn’t been paid in full for at least 12 months after it was due. ASIC can also act if a company has stopped carrying on business or hasn’t paid industry funding levies (ASIC).
| Stage | What happens | What you can do |
|---|---|---|
| Annual review date | ASIC sends the annual statement and fee invoice | Check the details and pay by the due date, usually 2 months later |
| The fee goes unpaid | Late fees are added | Pay the fee and late fees, and update any changed details |
| 12 months past the due date | ASIC writes to the company and its directors, and the status changes to strike-off in progress | Pay what is owed. The company is still registered |
| Notice published | ASIC publishes a notice that it will deregister the company in 2 months | Pay inside those 2 months to stop it |
| 2 months after the notice | ASIC may deregister the company | Apply for reinstatement |
Look at what that timeline means. By the time a company is deregistered for unpaid fees, more than a year of letters has usually gone unanswered. If the registered office or a director’s address on the ASIC register is out of date, fix that first, so the next letter actually reaches you.
What deregistration does to your money and property
- Bank accounts are frozen. ASIC asks banks to freeze the account as soon as they spot a deregistered company, and money in it that belongs to the company vests in ASIC. For an account in credit, the bank should give you a reasonable opportunity, up to 60 days, to reinstate. After that the account is closed and the money goes to ASIC as unclaimed money (ASIC).
- Property belongs to ASIC. Anything the company owned, including land and buildings, vests in ASIC. Property it held on trust vests in the Commonwealth. Former directors lose the right to sell, lease or mortgage it (ASIC).
- Business names are cancelled. Names registered to the company don’t pass to anyone. They are cancelled.
- Existing lenders keep their rights. ASIC has no objection to secured creditors enforcing their security, and council rates on the property keep running.
- The company can’t trade. Anything done in its name from here has no company standing behind it.
That last point is the one that catches people. If you keep invoicing, paying staff or signing orders in the company’s name, get advice from your accountant or a lawyer before you go any further.
Getting the company back: reinstatement, step by step
Most owners use ASIC’s administrative reinstatement, which doesn’t need a court.
- Check you can apply. Former directors, secretaries and shareholders can apply. Directors must not be disqualified from managing companies, and must be able to confirm the company will be solvent once it is back.
- Get a fee estimate. The cost depends on the company type and how long it was off the register. It covers an application fee, the fees owed at deregistration and annual review fees for the missing years. ASIC has a calculator, or will email a detailed estimate within 28 days of an online enquiry.
- Lodge Form 581. ASIC has to be satisfied the company should not have been deregistered, so explain clearly what went wrong, attach any evidence, and pay the estimate (ASIC).
- Sort out the name. If the old company name is still free, you can reserve it for two months. If someone else has taken it, the company comes back under its ACN instead of a name.
- Wait for the decision. ASIC says this can take another 28 days after it has the application and payment, and longer if it needs more information.
Add those steps up and you could be looking at eight weeks or more. That is close to the 60 days a bank is asked to hold the account, so start the day you find out, and tell the bank you have applied.
Once reinstated, the company is treated as if it had never been deregistered. Property ASIC hasn’t already dealt with vests back in the company, and the old directors are directors again, with all the duties that come with it. If ASIC can’t reinstate, for example because the company was in liquidation, the other route is a court order. That one is a job for a lawyer.
Can you borrow while the company is struck off or deregistered?
Not to the company, and not against anything it owns. Here is how it plays out at each stage.
- Strike-off in progress. The company still exists, but lenders check the ASIC register before they fund, and that status stops the file. The fix is to pay ASIC, which costs far less than any loan. Then apply.
- Deregistered. There is no company to lend to. Property in its name has vested in ASIC, so it can’t be offered as security either. Reinstatement comes first.
- Reinstatement lodged. You can get the groundwork done. A lender can look at the property, the equity and how the loan would be repaid while you wait. But no loan can be written to the company until the register shows it as registered again.
Be wary of anyone who offers to fund a deregistered company quickly with no questions asked. If the borrower doesn’t legally exist, the paperwork protects nobody, including you.
When a loan is the wrong answer
If the only thing standing between you and a registered company is a few overdue ASIC fees, don’t borrow to pay them. Pay them from the business today. Interest and establishment costs on a loan would dwarf the fees.
If the company was dormant anyway, think before you reinstate it. Reinstatement brings back the duties, the annual fees and any debts the company had. Sometimes the cleaner answer is to leave it closed and trade through a new structure, after advice from your accountant.
A loan only makes sense when there is a bigger problem underneath the missed fee: an ATO debt, overdue lodgements, wages or suppliers falling behind. That is more common than you might think. A missed ASIC fee is often the first visible sign that the paperwork has slipped because the cash has.
After reinstatement: fixing the cash problem underneath
Once the company is back on the register, check three things before you apply for anything. The ASIC record shows the company as registered with current addresses. The ABN shows as active on ABN Lookup; if it was cancelled, the Australian Business Register says you need to re-apply. And the business bank account is open and working again.
Then match the funding to what you have.
- You own property. A property-secured business loan is assessed on the equity and the exit, from $20,000 to $5M. There are no financials or tax returns to produce, overdue lodgements don’t stop it, and ATO debt and defaults are considered. That matters when the lodgements fell behind along with the fees. If the ATO is part of the picture, read our guide to getting a business loan with an ATO debt. If a director penalty notice has arrived, move faster still.
- No property. An unsecured cash-flow loan needs an active ABN, at least six months of trading and business bank statements shared through a read-only link. Expect questions about the weeks the account was frozen. A short written explanation saves time.
If wages are what is at risk, see our page on covering payroll. If the company needs a broader reset, funding a restructure sets out the options. Across the 5,626 loans we have funded since 2012, 61% of our borrowers had already been declined somewhere else, so a messy few months doesn’t rule you out.
Back on the register? See what you qualify for
Lodge the reinstatement first. Then, once the company shows as registered, tell us what the money is for and whether there is property behind it, and we will tell you which lane fits.
The 60-second eligibility check makes no credit enquiry and costs nothing to apply. If the deadline won’t move, our emergency business loans and urgent business loans pages show how quickly each lane can fund. Or call 1300 863 711 and walk through the ASIC search with someone who reads them every day.
Frequently asked questions
Can I keep trading while the company is deregistered?
Not through the company. ASIC says a deregistered company cannot conduct business, so there is no company behind any invoice, order or contract in its name. Talk to your accountant or a lawyer before you trade on.
How much does reinstatement cost?
It depends on the company type and how long it was off the register. You pay an application fee, the fees owed when it was deregistered and the annual review fees for the missing years. ASIC has a calculator, or will email a detailed estimate within 28 days.
Will I get the money in the bank account back?
Money belonging to the company vests in ASIC on deregistration. Banks are asked to freeze the account and allow up to 60 days to reinstate before the funds go to ASIC as unclaimed money. Tell your bank as soon as you lodge the application.
Do business names come back with the company?
No. Business names registered to the company are cancelled on deregistration. Once the company is back, check whether each name is still available and register it again.
Will a lender find out the company was struck off?
Lenders check the ASIC register before they fund, so a strike-off or deregistered status will stop the application. Once the company is reinstated, explain what happened up front rather than waiting to be asked.
Does it cost anything to apply?
No. There's no cost to apply or check your eligibility. All costs are set out in writing in your loan offer before you sign anything.
Will checking my eligibility affect my credit score?
No. Our 60-second eligibility check doesn't make a credit enquiry. A credit check is only done later, with your consent, if you decide to proceed.
