When you are incorporating your business, one of the most important steps to take is to make sure that you fill out the right paperwork and supply documentation required by the US government. For this reason, it might make sense to hire a corporate law firm to help your business complete the process of becoming a corporation.
Learn About All the Required Paperwork
The government will provide you with forms you need to fill out. Not only do you need to fill out these forms, but you might need other documents and you must also keep your paperwork up to date.
For example, you must submit annual financial reports. If you fail to do this, your business might be dissolved and will then be removed from the register. You will be allowed to become incorporated again, but this costs money.
Also, you won't be able to run your business until you have had this problem corrected. The disruption of your business can be costly because you will lose an important cash flow. However, a competent corporate law firm will help you make sure that all your documents have been filed.
Keep Information Up to Date
Other information you need to keep up to date includes any new and departing shareholders, any changes to addresses, and any other reports that need to be included. If your information is not kept up to date, you might face fines or your corporation might even be dissolved.
Include a Shareholder Agreement
Make sure to include a shareholder's agreement. The shareholders will be responsible for determining how they will resolve issues. Otherwise, your business might be more difficult to operate when there is a dispute. Fortunately, a corporate law firm can help you draft an agreement.
Choose the Right Organizational Structure
A corporate law firm will not only help you make sure that the proper documents are filed, but will also inform you about the best organizational structure for your business. Then, your business will be set up for success.
Choose the Right State for Your Company
In addition to the general rules you'll need to follow, there are also specific rules based on the state in which you reside. Therefore, you'll want to speak with a corporate law firm that is based in your state and knows what regulations you'll need to file.
If you have not yet formed your corporation, and your business is somewhat large, the corporate law firm might recommend that you incorporate in a state other than the one where you originally founded your business. Even if you choose not to follow some of the advice of your corporate law firm, it's important to receive a legal opinion from a lawyer before deciding.
Contact a corporate law firm to learn more.Share
9 March 2022
Like many people, I once found learning about law very intimidating. My brother went to law school and I remember glancing through a few of his books and wondering if I was actually reading English due to all of the legal jargon in them! However, when I ended up in a sticky legal situation due to accidentally breaking a small law I didn't know existed, I realized that I needed to learn more about the law, so I could make sure to follow it precisely in the future. My brother helped to break down some complicated legal concepts to me, and I have since been studying up online. I want to post what I have learned and continue to learn about law in the future on my new blog, so my knowledge cannot only help myself, but also help others!