We can't give you taxation or entity structure advice, so head to the ATO website
You may wish to call them on the Personal Tax Info Line 132 861 or the Small Business Info Line: 132 866. Also talk to your Accountant or a Tax expert. You can find people like these in the Yellow Pages online.
Don't just go to your friends for tax advice, and don't feel overwhelmed or intimidated by tax jargon, the ATO info line is for everyone and they are patient, helpful, and friendly. So don't leave questions until the end of the financial year, make it a priority.