‘The job isn’t done until the paperwork is complete’, a popular axiom used especially in business. It identifies with the requirement that every corporate entity maintain its legal status and understanding between all investors and the management team. These understandings are the essence of the “formation” of the corporate entity. Failure to do the paperwork can create legal snafus such as the loss of corporate protection for both officers and owners of the company
Articles of Incorporation
Articles of incorporation is a legal document customarily filed with the state corporation commission or secretary of state to incorporate a business. The articles include name, purpose, location, directors, etc. Each state is different in their respective requirements, go to your state’s website for new businesses and read about the requirements to file a set of articles of incorporation.
There is multi-step process to establish a Limited Liability Company (LLC). You must first be recognized by the state of origin and then apply to the Internal Revenue Service to identify the particular tax entity arrangement. Both recognition processes have several steps involved. This article guides the entrepreneur through each of the steps to create a Limited Liability Company.