How to Incorporate a Business

Incorporation is the process of forming a new corporation and making it recognizable under law as its own legal entity. Incorporating a business can be a complicated process, but knowing the necessary steps and forms will help keep you organized and stress-free. Read on to learn more about incorporating a business, or, if you're ready to start incorporating now, it's free on Rocket Lawyer.

 

Research requirements in your state.

Each state has its own requirements for starting and operating a business, so be sure to refer to the department in your state that handles incorporation to learn about forms, fees, and regulations.

Choose a business structure.

You can incorporate any of the following types of business. Consider tax implications for each.

• Corporation
• S Corporation
• C Corporation
• Limited Liability Compan
• Non-Profit Organization (NPO)

Fill out the forms.

• Articles of Incorporation. Depending upon your state, this may also be known as a Certificate of Formation or Certificate of Organization or Charter. This is the legal document that brings the business to life. It includes important information like the nature of the company and the location of the corporate headquarters. Once accepted, the corporation becomes its own legal entity. 
• Corporate Bylaws. This document defines the corporation's structure, specifies how the corporation will conduct its affairs, determines the fiscal year of the corporation, and lists the rights and responsibilities of the officers and shareholders.
• Minutes of First Meeting. This document is used to record the official actions taken during a formal meeting of the board of directors or shareholders of a corporation. It generally consists of electing officers, adopting bylaws, and authorizing the issuance of initial stock shares.
• Stock Certificate(s) if applicable. This document serves as evidence of the ownership of corporate shares by a stockholder.

Take the Free Business Legal Check Up to track what forms and documents your business needs. With our Free Incorporation Service, you just need to answer a few simple questions and we create your initial paperwork and file it with the state for you. You pay only the state filing fees. Then, you can create and customize all the legal forms you need to incorporate your business. Rocket Lawyer helps you create and store everything online to make the process of incorporation as smooth as possible.

Laws on this topic may vary from state to state. This content is not meant to provide you with complete information and it is not intended to be legal or tax advice. It is recommended that you consult with your own attorney, accountant or other advisor regarding your specific situation.