So, you’ve decided to become a coach.
You're great at helping people. You’ve got knowledge to share. You've even started building your audience and maybe mapped out your first offer.
Now comes the part no one tells you about: the legal, structural, and strategic foundations that make a coaching business actually sustainable (and not just a well-branded hobby).
Let’s be real, coaching is one of the fastest-growing industries in Australia, especially online. But it’s also one of the easiest to accidentally mess up when it comes to contracts, compliance, and copycats.
In this guide, you’ll learn exactly how to build a coaching business that’s profitable, protected, and ready to grow, without the legal grey areas or late-night stress spirals.
Why Legal Protection Matters in Coaching
Let’s get this out of the way: yes, you absolutely need legal protection, even if you’re just starting, even if you “don’t have clients yet,” and even if you’re not giving medical or financial advice.
Coaching is a real business. And real businesses need:
- Boundaries around payments, refunds and cancellations
- Protection if something goes wrong
- Clear expectations around what you do and don’t offer
Skipping the legals might save time upfront… but it’ll cost you when:
- A client ghosts you after three sessions and asks for a refund
- Someone copies your course and sells it as their own
- You get slapped with a complaint for “promising results” you never actually guaranteed
Legal stuff = confidence + credibility + cash flow.
Step 1: Define Your Niche + Ideal Client
Yes, this is “business basics”, but it matters more than you think.
The clearer your niche, the easier it is to:
- Attract aligned clients
- Write strong contracts
- Create effective disclaimers
- Position yourself as a professional, not just a content creator
Ask yourself:
- What specific outcome do I help people achieve?
- What problem am I solving?
- Who do I not work with?
Example: “I help burnt-out creatives rebuild their confidence and create healthier work boundaries” is 100× stronger than “I’m a life coach.”
Step 2: Choose the Right Business Structure
This one’s less sexy, but super important.
Are you a sole trader or registered company? Your structure affects:
- How you pay tax
- Your personal liability if something goes wrong
- How you protect your name or register a trade mark
- How investors or collaborators might view your business
Sole trader is often the easiest to start with, fewer setup costs and admin.
Company gives you more protection, especially if you’re scaling, hiring, or taking bigger financial risks.
Not sure what’s right for you? Check out our Business Structures blog.
Step 3: Get Your Coaching Legals in Place
Here’s where a lot of coaches go wrong, assuming a Stripe checkout and a few friendly emails are enough. (Spoiler: they’re not.)
Must-have legal docs:
Coaching Agreement
- Sets clear terms on payments, rescheduling, refunds, scope, and session delivery.
- Outlines your responsibilities and the client’s.
- Includes a clear disclaimer that coaching is not therapy/medical advice.
Website Terms & Conditions
- Protects your site, content, and user experience.
- Covers IP, liability limits, and acceptable use.
Privacy Policy
- Required by law if you collect any personal data (like bookings, emails, or payments).
- Must disclose what data you collect, why, and how you protect it.
Disclaimers
- Super important if your coaching touches on health, mindset, finances, or wellbeing.
- Helps limit legal exposure and set expectations.
Pro tip: Don’t patchwork these from Google. Get proper legal templates written for Australian coaches, like these ones.
Step 4: Protect Your Brand with Trade Marks
Got a killer brand name or course title? Better make sure it’s actually yours.
- Search IP Australia to see if the name is already registered.
If it’s not:
- Register your business name and domain
- Consider trade marking your brand name, logo, or signature offer/course
A trade mark gives you exclusive rights to your brand, and the ability to stop copycats in their tracks.
Foundd Legal can help you file a trade mark (minus the confusion and eye-watering lawyer fees).
Step 5: Insure Your Coaching Biz
No one wants to talk about insurance… until something goes wrong.
Depending on how you deliver your coaching, you may need:
- Professional Indemnity Insurance (for advice-based work)
- Public Liability Insurance (if clients meet you in person)
Tip: Even Zoom-based coaching can still pose risk, especially if someone acts on your advice and claims it caused harm. (Hello, refund request… or worse.)
Work with a broker who understands online businesses and coaching and review your coverage annually as you grow.
Step 6: Set Up Smart Systems
Admin chaos is a dream-killer. Set your systems up early and save yourself stress.
Tools we love:
- Acuity / Calendly – for automated bookings
- Dubsado / HoneyBook – for contracts, onboarding, payments
- Stripe / PayPal – easy client payments with invoicing
- Notion / Trello / ClickUp – for project management
- Kajabi / ThriveCart – for course/program content
Use automations to deliver your contracts, intake forms, and welcome emails. It’s not just about looking pro, it’s about protecting your time and energy.
Step 7: Nail Your Onboarding Experience
The client journey doesn’t start at the first call, it starts the moment someone pays.
Your onboarding checklist:
- Welcome email (with vibe + next steps)
- Signed Coaching Agreement (e-signatures for the win)
- Payment confirmation + session booking link
- Access to pre-work (if applicable)
- Cancellation and reschedule policy (spelled out clearly)
Setting expectations early avoids awkward convos later.
Pro tip: include a “what coaching is/not” section in your contract to reduce misunderstandings.
Step 8: Stay Compliant, Stay Confident
Running a coaching business comes with big wins… and big responsibilities.
You’re not just helping people. You’re building a brand, taking payments, handling personal info, and sharing transformational ideas. That’s powerful stuff, and it comes with risks.
Staying legally legit means you can:
- Raise your rates with confidence
- Scale without fear
- Sleep better at night knowing your back’s covered
This isn’t about scaring you, it’s about empowering you to run a coaching business like the pro you are.
↑ Back to topYour Legal Coaching Toolkit (30% Off This Month)
Ready to ditch the guesswork and get your coaching biz legally legit?
👉 Grab the Essential Legal Kit for Coaches, includes your Coaching Agreement, Website T&Cs, Privacy Policy, and Disclaimers.
- ✔️ Lawyer-drafted
- ✔️ Easy to customise
- ✔️ Written for online coaches, by lawyers who get the industry
🛍 Use code BFCM2025 at checkout for 30% off until 30 November.
→ Shop the
ESSENTIAL LEGAL KIT FOR COACHES
***Disclaimer. Please read!!***
This article is for general information purposes only and should be used solely as general guidance. It does not and is not intended to represent legal advice or other professional advice.
All rights reserved. © Foundd Legal Pty Ltd
