How to start a Missouri corporation

It might seem like a lot at first, but once you understand the steps, it’s very doable. This guide will walk you through everything you need to know to start your Missouri corporation.

How to start a corporation in Missouri

Incorporating means registering your business as a corporation so the law sees it as its own entity, separate from you. Each state has its own rules for how to do this, so the process can seem confusing. Let’s go through each step: 

1. Choose a name for your Missouri corporation

Your corporation’s name should be unique and make a statement about your business. Make sure it complies with the following Missouri requirements:

• Your name must include "Corporation," "Company," "Incorporated," "Limited," or an abbreviation of one of these words.
• Your name must not imply that your business is associated with a government agency or that it has been organized for an illegal purpose.
• Your name must be distinguishable from that of any other Missouri business.

Need help coming up with a business name for your corporation? Try the Rocket Copilot™ AI Business Name Generator, a free tool to help you brainstorm business names and get started registering your corporation.

2. Decide between a Missouri S-Corp and C-Corp tax designation

There are similarities between a Missouri S-Corp and a C-Corp regarding personal liability, management, structure, and compliance. The differences, however, come down to the following:

• Taxation: A C-Corp files its own tax return and pays taxes based on its income and expenses. An S-Corp passes its earnings on to its owners, who pay taxes at their respective individual tax rates.
• Documents: The IRS requires that you file Form 2553 to elect S-Corp status. At tax time, a C-Corp must file a Form 1120 tax return. S-Corps file a Form 1120S tax return.
• Ownership: A C-Corp may have as many classes of stock as its owners choose, and it can have an unlimited number of shareholders. An S-Corp may have only one class of stock and is limited to a maximum number of shareholders, usually 100. Only individuals, certain trusts, and estates can be shareholders in an S-Corp.

3. Appoint directors and shareholders for your Missouri corporation

Each state has its own personnel requirements for incorporating. In Missouri, a business may incorporate with one or more directors and one or more shareholders, but incorporators must be at least 18 years of age. Missouri does not have a residency requirement for directors or shareholders.

State the number of your corporation's directors in either your Bylaws or your business's Articles of Incorporation. 

4. Choose a Registered Agent

A Registered Agent is the person or business responsible for receiving tax, legal, and government documents during regular business hours. It's important that every business has one. You can either serve as your own registered agent (if you have a Missouri address) or choose one to do that service for you (if you are not located in Missouri or would like an extra layer of privacy).

5. File your Articles of Incorporation with the state of Missouri

Once you have a business name and registered agent, you can register your business as a Missouri corporation with the state by filing your Articles of Incorporation. This document may be referred to informally as a corporation's "Articles," or in other states, it may be called a "Certificate of Organization," "Certificate of Filing," or "Certificate of Formation."

6. Get an Employer Identification Number (EIN)

Before opening your doors for business, apply to the IRS for an employer identification number, or EIN. All corporations with employees in Missouri must have an EIN. An EIN is similar to your Social Security number, but it's for businesses. You'll also need an EIN to open your corporate bank account.

Congratulations! After you have completed all these steps, you have formed your Missouri corporation.

Still have questions? Learn more about how to start your own business with Rocket Lawyer and get started today!
 

Key takeaways Starting a corporation in Missouri means following state rules, like choosing a unique name, filling out paperwork, and paying fees to make it official. One important choice is deciding how your corporation will be taxed in Missouri, either as an S-Corp or a C-Corp. This affects how the business and owners pay taxes, and the differences between the two change from state to state.

Additional resources

Learning how to enforce a contract is just one step. Explore these additional topics to learn more and take the next steps.

• What is a corporation?
• What is an S-corporation?
• How are corporations taxed?
• How to start a corporation
• How to register a corporation by state