Business Incorporation
Business Formation
When an organization or business entity incorporates, it becomes a legally recognized corporation. When most people hear the word “corporation,” they think of a for-profit business. But there is more than one type of incorporated entity. There are also non-profit corporations, privately-owned businesses, and professional corporations.
The legal requirements for incorporating vary by state. Sometimes, business owners mistakenly think that they have met the requirements for incorporation. If you are operating a business without being properly incorporated, you face significant legal risk. This is especially true when business disputes arise.
If you are planning to incorporate your business, expert guidance is crucial. Do not attempt this legal process without an accomplished lawyer in your corner. At Farrow Law firm, we have the experience necessary to help you properly incorporate your business.
With a focus in the Miami and Broward areas, the team at Farrow Law Firm will work hard to protect your interests. We will ensure that you incorporate in compliance with local, state, and federal laws. Best of all, our flat-fee payment structure means you will never face unexpected hourly billing.
The Importance of Business Incorporation
Incorporation is a necessary step in starting a successful and thriving business. In fact, you should consult with an accomplished corporate lawyer before focusing on other elements of your business. These include:
● Marketing strategies
● Operating contracts
● Vendor agreements
● Management structures
Learning the requirements for forming a corporation in your area is vital. Incorporation is essential to transforming your business idea into a profitable company.
One of the most important differences between an actual business and a mere idea is that corporations are legally recognized. The Florida state government and the federal government acknowledge corporations as legitimate entities. There are many benefits to this recognition when incorporating your business.
First, an incorporated business receives certain kinds of advantageous treatment in terms of taxation. Secondly, incorporation results in reduced liability for business owners.
A corporation can avoid certain types of liability that unincorporated entities cannot. For instance, the U.S. court system has recently decreed that corporations are considered to be legally the same as persons under the law.
There are many advantages to legal personhood. These include specific tax benefits and limitations of liability. Corporations can claim protections under the First, Fourth, Fifth, and Fourteenth Amendments. Being properly incorporated can protect your business from various types of liability.
Florida Requirements for Incorporating a Business
The requirements for incorporation vary from state to state. To be sure that you are in compliance with state regulations, speak with a qualified business attorney to form the proper business structure.
Luckily, forming a legal corporation in Florida is relatively straightforward. Some localities have much more complex requirements for completing the incorporation process. Still, consulting with a professional is the best way to ensure that you have fulfilled the necessary steps.
There are several steps to forming a corporation in Broward or Miami. These include:
Name Requirements
The name of your future business must meet the regulations of the state of Florida. You can search the records of the state Division of Corporations to ensure that your company’s name is not in use. If it is, you will need to choose a different name.
Articles of Incorporation
After choosing a name, you will need to file articles of incorporation. The articles will include certain information about your future business, such as:
● Name of the corporation
● Primary street address
● Purpose of the organization
● Number of shares that the corporation can issue
● Contact information of an agent for service of process
● Contact information of the incorporator
The articles of incorporation can be filed online. There is an application portal on the Florida Division of Corporation website. You can also file the articles by mail.
Secure FEIN
The IRS assigns each new corporation a Federal Employer Identification Number (FEIN). You can complete an application to receive your FEIN through the IRS website. No application fee is required.
Obtain Relevant Licenses
An incorporated business must operate in compliance with both state and federal statutes. Depending on the nature of your business, you may need to acquire state and local business licenses.
Miami-Dade County has very specific regulations with which all incorporated businesses must comply. These include holding certain business licenses.
Appoint Corporate Directors
When you incorporate a business, you will need to assign corporate directors. These directors will serve on the board of your new company. They will be responsible to make decisions regarding management and organizational structure.
Secure the Services of a Florida Business Attorney
Many business owners attempt to incorporate without the help of a legal expert. This is a mistake. If you have unpaid fees or unfiled paperwork, you could face serious legal consequences. Do not let this happen.
If you want to incorporate a business in Broward or Miami, contact the skilled team at Farrow Law Firm. We will ensure that your new business is properly incorporated.
We operate on a flat-fee structure. That means that we get paid to get the job done right. You will not receive enormous bills at an hourly rate. When you are planning your next business venture, call the best. Contact Farrow Law Firm to schedule your consultation today.
