So, I live in Queensland where brothels and private sex work are legal. I think brothels and private sex work are legal up the entire east coast of Australia but not sure about the other states. Solicitation is still I think illegal outside of New South Wales where you can do it but not near houses, schools or churches or something.
I’ve definitely read studies and the like that suggest the legalisation and regulation of brothels hasn’t stopped organised crime being very heavily involved and that, exactly as you say, they use a legitimate person as a front but still essentially operate it themselves.
I think I read that in Queensland something like 80 or 90% of sex work still occurs outside of brothels and so is unregulated and that whilst those who work in the brothels are generally safer both physically and health wise the other 80/90% of them who operate privately or illegally still face pretty similar levels of violence as they did previously so for the vast majority of sex workers they don’t have the same risk of prosecution but do have a similar risk of violence.