Incorporation Formation Services - $75 + State Fees
We can form C, S, Non-profit, or Professional
corporations, in any of the 50 states. Our corporation package
includes:
Company name availability check for the
state you select
Preparation and filing of your articles
of incorporation
Payment of the state filing fees for
your selected state
Payment of the initial franchise tax
(if this tax is due upon filing of the articles)
Benefits of Forming a Corporation
You don’t have to be a large business to benefit from
forming a corporation. In fact, quite the reverse is true. And
contrary to popular belief, forming a corporation can be more
beneficial to your business than opting for sole proprietorship,
as it’s cost-effective and will save you time. Here are
some of the advantages of forming a corporation:
1. Lowered debt risk.
Let’s say you’re running a sole proprietorship or
general partnership and you accumulate debts. Your personal
property is now at risk because you’re personally liable
for those business debts. However, in the case of a corporation,
your assets are much safer, because the corporation provides
limited liability protection to you, its owners (called shareholders).
This means your personal responsibility for the debt decreases
tremendously and prevents creditors from seizing your personal
assets (your house and other property) to pay the business debts.
2. Tax savings.
Your personal accountant or tax advisor may be able to give
you full details about the tax benefits of which corporations
may avail themselves. For example, corporate income is not liable
for Workers’ compensation or Medicare taxes, and it’s
also exempted from Social Security and life insurance. Corporations
can even benefit from deductions on health insurance premiums
paid by the owners/shareholders.
3. Extensive duration.
Corporations generally have a longer life than do the sole entrepreneurships.
Even if the main shareholder(s) decides to sell the business
interest, the corporation still continues to do business. Even
after the shareholder(s) death, its life is independent of the
shareholder(s). You could say it almost has a life of its own.
4. Greater credibility.
This is especially the case if you’re trying to establish
a new business venture, and are attempting to build credibility
with potential staff, clients, suppliers and partners. Corporations
can more easily achieve this than can sole proprietorships and
less formal partnerships and companies.
5. Retirement plans.
In corporations, retirement plans are more easily activated
than they are in general partnerships. Retirement funds can
also be made more easily available.
6. Creating funds for business.
Many banks nowadays ask loan seekers whether they’re an
incorporated business. There may be difficulties ahead for you
in securing your capital if you’re not a corporation.
Again, it adds credibility and is likely to more favorably impress
bank managers, as well as clients.
7. Transfer of ownership.
Except for an S corporation ownership, provision is there for
an easy and trouble free transfer of ownership for a corporate
business.
