Incorporation creates a legal entity that is separate from the individual members. The incorporated body can own property in its own name, sue, and be sued.
Australia has different ways to become incorporated, for example:
Non-profit associations are used for many different kinds of organizations such as churches, schools, charities, and sports clubs.
Even if the organization is unincorporated, it has legal responsibility if it handles money, opens a bank account, or employs someone. Unincorporated associations are very risky because decisions must be unanimous to be binding, and each member is personally liable for liabilities.