An unregistered NDIS provider is simply one that has not gone through the NDIS Commission's formal registration process -- it does not mean the provider is unqualified, unsafe, or unaccountable. Unregistered providers are still bound by the NDIS Code of Conduct, and can be engaged by plan-managed and self-managed participants.
Who can use an unregistered provider
Plan-managed and self-managed participants can generally choose to work with unregistered providers, which opens up far more choice than relying only on registered providers. Agency-managed participants are more restricted, and generally need to use registered providers for most supports.
What registration does and doesn't tell you
Registration tells you a provider has met the NDIS Commission's audit requirements for the categories they are registered in. It does not, on its own, tell you whether a specific provider is the right fit for a specific participant's goals, communication style, or interests. Both registered and unregistered providers are bound by the Code of Conduct, and both can be reported to the NDIS Commission if something goes wrong.
Why this matters for building a micro business
Because this kind of participant-directed support is often delivered by small, specialist providers -- sometimes a single practitioner with a particular skill set, like running an actual business -- registration status should not be the only filter used to rule providers in or out. For plan-managed and self-managed participants, the more useful questions are: does this provider actually understand the work, and can they show real outcomes.
This support is delivered by an unregistered provider, available to plan-managed and self-managed participants. See the full funding detail on the NDIS micro business support page.