NDIS sole trader guide: registered or unregistered, and what applies to you

Many NDIS providers are sole traders: one person, trading under their own ABN. You can work as an unregistered or a registered NDIS provider. A few NDIS rules treat individuals differently, and some business rules matter more when you work alone.

Sole trader basics

As a sole trader you're legally responsible for all parts of the business, including its debts and losses. You use your own tax file number, and you're personally liable for tax on the business income. Getting an ABN is free. If you employ anyone, you take on obligations such as workers compensation insurance and superannuation contributions for them.

Registered or unregistered?

Unregistered sole traders can support participants who self-manage or plan-manage their funding, for supports that don't require registration. You must register to support NDIA-managed participants or to provide certain supports, such as plan management, specialist behaviour support or SDA (full list). Take the registration check to see which applies to you.

Supported independent living: the NDIS Commission says a sole trader who delivers, manages and coordinates a participant's supports that meet the SIL definition is a SIL provider, and must be registered from 1 July 2026. Read about the registration changes.

Changes coming from 2027: the Government has announced that from 1 July 2027 mandatory registration will expand to providers of higher-risk supports, such as personal care and daily living supports, and that most providers will need to enrol with the NDIA to be paid. Neither applies yet. See what's coming.

Worker screening

If you're a registered sole trader, you're both key personnel and working in a risk-assessed role, so you need an NDIS worker screening clearance. Unregistered providers aren't legally required to have one, but the NDIS Commission recommends it, and participants can require it.

Rules that treat individuals differently

• Early childhood supports (0118): an individual or partnership is assessed against one Core module outcome (freedom from violence, abuse, neglect, exploitation or discrimination) plus Module 3, instead of the whole Core module. If you're only registered for 0118, you also don't need a mid-term audit.
• Short-notice cancellations: the condition about paying the worker for cancelled time doesn't apply to sole traders and partnerships. Check a cancellation.
• Audits are proportionate: certification audits must be proportionate to your size, scale and the complexity of your supports.

Insurance

Workers compensation doesn't cover you as a sole trader, so consider your own personal death, illness and disability insurance. If you register, the Practice Standards expect appropriate insurance, including professional indemnity, public liability and accident insurance. See the insurance guide.

Working under another provider's registration

Some sole traders deliver supports under a registered provider's registration through a subcontracting or brokerage arrangement. The registered provider claims payment, is responsible for the supports you deliver, and must make the arrangement clear to participants. You still need to follow the Code of Conduct.

Next steps

• Starting an NDIS business
• How to become an NDIS provider
• Estimate registration costs