Bonza, which is backed by a US investment firm and headed by ex-Virgin Blue executive Tim Jordan, is promising "ultra low prices" to travel around the country in 2022.
"Bonza's mission is to encourage more travel by providing more choices and ultra-low fares, particularly into leisure destinations where travel is now often limited to connections via major cities," CEO and founder Mr Jordan said.
Bonza's ambition is broad but it appears there will be a focus on regional communities, with new routes in the wings.
Mr Jordan has more than 25 years of experience in the aviation industry and recently was managing director of FlyArystan, the first low-cost carrier in Central Asia.
US investment firm 777 Partners is backing Bonza, which subject to regulatory approval expects to launch services in early 2022 with Boeing 737-8 aircraft.
"We see huge potential in the Australian market to deliver the benefits and options that an independent low fare airline brings," 777 Partners managing partner Josh Wander said in a statement.
Bonza will sport white and purple livery on its aircraft and plans to base its headquarters in regional Australia, with the exact location yet to be revealed.