How to register as an NDIS provider: the sole trader setup guide

The process of becoming an NDIS provider as a sole trader is less complicated than most people expect. The harder question is usually not how to set up, but whether to become a registered provider or remain unregistered. The answer depends on which participants you want to serve and which supports you want to deliver.

This guide walks through both paths.

Registered vs unregistered: the key difference

NDIS participants manage their funding in two ways. Agency-managed participants have their funding held by the NDIA, which pays providers directly. Plan-managed participants have a plan manager handling payments on their behalf. Self-managed participants control their own funds.

Registered providers can work with all three groups. To become registered, you go through an audit process with an approved quality auditor and meet the NDIS Practice Standards.

Unregistered providers can only work with self-managed and plan-managed participants. They cannot bill agency-managed participants.

Roughly 30% of NDIS participants are self-managed, and plan management has grown significantly. For a sole trader starting out in personal care, community access, or social supports, unregistered operation is often the right starting point. It lets you begin working while you build your documentation systems and client base before committing to registration.

The exception is specific higher-risk support types. Supported Independent Living, specialist behaviour support, some allied health registrations, and a handful of other support categories require registration regardless of how the participant manages their funding.

Step 1: Get an ABN

Before anything else, you need an Australian Business Number. Apply at abr.gov.au. For most people delivering personal or community supports, you will register as a sole trader (not a company or trust). The application takes about ten minutes online and the ABN is usually issued within a few days.

Choose a business name if you want to trade under something other than your own name. Business names are registered with ASIC (asic.gov.au) and cost around $38 per year.

Step 2: Get your NDIS Worker Screening Check

An NDIS Worker Screening Check (NDIS WSC) is mandatory for anyone delivering NDIS-funded supports. It is not the same as a police check. The NDIS WSC is a more comprehensive assessment run through the relevant state or territory authority.

Apply through your state or territory's worker screening unit. There is typically a fee of $100–$150. Processing times vary by state. In New South Wales, the clearance usually arrives within four to six weeks. In other states it can be faster.

Your NDIS WSC is valid for five years. You must have it in place before you start delivering supports. No exceptions.

The NDIS Worker Orientation Module is also required. It is free, takes around 90 minutes, and is completed online at ndiscommission.gov.au.

Step 3: Get the right insurance

Two types of insurance are non-negotiable for NDIS work.

Professional indemnity insurance covers claims that arise from your professional advice or services. If a participant claims your support caused them harm, professional indemnity responds to that claim.

Public liability insurance covers injury or property damage to third parties arising from your business activities. If a participant slips while you are helping them, public liability covers the resulting claim.

For a sole trader, a combined policy typically costs $600–$1,200 per year depending on the insurer, the supports you deliver, and your annual turnover. Specialist disability insurance brokers offer policies tailored to NDIS providers.

Some sole traders also consider income protection insurance, since as a sole trader there are no sick leave entitlements.

Step 4: Set up your documentation systems

Before you take on participants, you need to be able to produce the documentation that the NDIS expects. This does not need to be elaborate for an unregistered sole trader, but it does need to exist.

At a minimum:

• A service agreement template for each participant (see the NDIS service agreement guide)
• A way to write and store progress notes
• An incident management process (what you will do and how you will document it if something goes wrong)
• A complaints policy

Registered providers also need policies for privacy, code of conduct, and work health and safety. If you start as unregistered and plan to register later, getting these policies in place early saves work later.

Progress notes are the most frequently examined documentation in audits and payment disputes. The NDIS progress note template covers what a compliant note looks like.

Billa is designed for this setup: it gives sole traders and small providers a way to write, store, and export notes and participant records without needing to build a custom system.

Step 5: Find participants

Unregistered providers find participants in a few ways. Word of mouth from other support workers, disability support groups, and local community networks. Platforms that connect self-managed and plan-managed participants with unregistered providers (Hireup, Mable, and similar).

Plan managers are a useful source of referrals because they regularly hear from participants who are looking for workers in specific areas or with specific skills. Introducing yourself to local plan managers is often a more direct route than advertising broadly.

When you connect with a participant, the first step is to establish a service agreement before any supports begin.

Becoming a registered provider

If your participants transition to agency management, or if you want to deliver higher-risk supports, you will need to become registered. Registration involves:

1. Applying through the NDIS Commission's online portal
2. Completing a self-assessment against the NDIS Practice Standards
3. Engaging an approved quality auditor
4. Undergoing a verification audit (for lower-risk supports) or a certification audit (for higher-risk supports)
5. Maintaining registration with ongoing audit requirements every one to three years

The NDIS audit checklist walks through exactly what auditors look for, which is useful whether you are preparing for a first audit or maintaining compliance ongoing.

For sole traders, the most practical preparation is building good documentation habits from day one. Providers who start with structured notes and proper participant files do not have to scramble to create records retrospectively when audit time comes. They already have them.