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  • Forming a Corporation - Questions and Answers

    Q & A Corporations  Order Form Corporation  Q & A LLC's  Order Form LLC
    Incorporate in Delaware  Incorporate in Nevada    Business Incorporation Kit
    Limited Liability Company Kit  Our Fees  Contact  Order Status  Home

    Q: What is a corporation?
    A: A corporation is a legal entity separate from its owners, and may have an unlimited number of shareholders. A major advantage of any corporate form is that it limits the personal liability of the owners for claims against the corporation. Additionally, as a separate entity, a corporation has unlimited life, extending it beyond the life of its owners. Creation of a corporation occurs when properly completed articles of incorporation are filed with the appropriate state authority, and all fees are paid.

    Q: What is an S corporation?
    A: An S corporation is a corporation that has elected a special tax status with the IRS. This tax treatment allows the income of the corporation to be treated like the income of a partnership or sole proprietorship; the income is "passed-through" to the shareholders. Thus, shareholder's individual tax returns report the income or loss generated by an S corporation. By checking off this option on our incorporation order form 101incorporate can assist you in this election.

    Note: In order to qualify for S corporation status, the corporation must be a U.S. corporation with only one class of stock and the shareholders must number fewer than 75. These shareholders must be individuals, estates or certain qualified trusts, who consent in writing to the S corporation election. The shareholders can not be non-resident aliens.

    Q: What are the requirements for the director of the corporation?
    A: Most states only require a corporation to have one director. Each director must be an adult. Furthermore a director is not required to reside within the state of incorporation. In addition one person may be director and hold all offices.

    Note: It is important to note that a shareholder may serve on the board of directors and as an officer. In fact, in most states one shareholder is sufficient to form a corporation.

    Q: Do I need an attorney to incorporate?
    A: No, an attorney is not a legal requirement to incorporate. 101incorporate can prepare and file the articles of incorporation, simply fill out our online order form and we will do all the work necessary to form your new corporation.
     

    Q: What is a registered agent?
    A: A registered agent provides a registered address for the receipt of service of legal papers A registered agent also serves as a local contact for the Secretary of State and other government agencies. The registered agent receives notice of any suits, tax notices, etc. and then forwards them to the corporation.

    Q: Is it possible for you to act as your own registered agent as long as your registered address is within the state that you are incorporating in?
    A: It is possible for you to act as your own registered agent as long as your address is within the state that you are forming the entity in.  However, if registered agent services are required, as they frequently are in Delaware and Nevada, 101incorporate can provide these services.

    Q: What is the corporate kit?                                                                                        A: After your Articles are filed, your corporation must hold an organizational meeting where bylaws are adopted. Share certificates can be distributed to shareholders and these transactions should be recorded on the corporation's stock ledger. All of this information can be maintained in a corporate record book, which is included in the corporate kit. Our corporate kit includes all of the information and paperwork needed to make this process easier.

    Q: How do I get started?
    A: Upon receiving your completed order, 101incorporate will immediately file and execute all the necessary documentation to file your corporation. To place an order, simply utilize our online order form

     

    Q & A Corporations  Order Form Corporation  Q & A LLC's  Order Form LLC
    Incorporate in Delaware  Incorporate in Nevada    Business Incorporation Kit
    Limited Liability Company Kit  Our Fees  Contact  Order Status  Home

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