Presenting gifts are conventional ways of strengthening bonds and in business it is an accepted norm to present gifts to clients. Corporate business gifts with your company logo or name will act as a reminder to your client about your existence. Ensure that the gifts are not too costly or conspicuous and not given with intent of influencing business decisions. Bribery is considered as corrupt business practice and is illegal. A corporation is expected to have business ethics, which is similar to that of government gifts and ethics policy. By forming a corporation the promoters are obligated to subscribe to social and moral policies that are prevalent and considered ethical in the business community.
Forming a corporation involves legal and statutory formalities also. By definition a corporate is a legal entity as that of person. It has to abide by the rules of the society and the constitution like any ordinary citizen. The promoters of a corporation create the legal entity by fulfilling legal requirements of the state in which the entity is incorporated. The corporation, after becoming legal entity functions through its board of directors and operates through its office bearers. The Articles of Incorporation states the purpose for which the entity was created and its organizational structure.
Corporations are incorporated under state law and regulations. Rules and regulations that govern corporations may differ in each state. If you intend to incorporate a company in any of the states, corporate kits will come in quite handy. These corporate kits contain all that is necessary to be filed or put in place by a new corporation. Make sure that you order state specific corporate kits as not to miss out on any of the rules or regulations of that state.
As opposed to forming a corporation, forming llc is less cumbersome. Limited Liability Company is comparatively easy to form and manage. It has the advantage of the limited personal liability of its owners as that of a corporation but does not involve too many formalities like recording minutes or mandatory board meetings etc. Another advantage is that the LLC can elect to be taxed according to it convenience. By default, a single member LLC is treated as a Sole Proprietorship and multi member LLC as a partnership for taxation purposes. However, the owners have the choice to be taxed as a C corporation or even an S Corporation if the LLC meets certain criteria.
The articles of incorporation are required for a c corp and an s corp. The article of incorporation is required by all states and is used as a charter for your business. The articles of incorporation are designed to establish the existence of your corporation, which is done by filing your articles of incorporation in the state that you are incorporating in. The articles of incorporation are also designed to provide the public about certain basic information for your corporation.
When preparing the articles of incorporation you can use corporate kits or you can find a sample online and create your own articles of incorporation. When preparing your own articles of incorporation it is imperative that you include certain things, if these things are not included in the articles of incorporation, you will not be able to file your articles of incorporation with the Sectary of State’s office.
The first thing that you need to include within your articles of incorporation is the name and address of the new corporation. When including the address you want to give the address of where you will be doing the most business. For example, if you will be running an internet business from your home you will want to give them your home address.
The second thing that you need to include in the articles of incorporation is the purpose of your corporation. When stating your corporation’s purpose you want to use broad language. The reason for that is if you do not use broad terms to describe what your corporation is doing you can limit what your corporation can do. For example, if you state your corporation is going to be selling corporate business gifts to other businesses you will not be able to sell to the public. Instead, you want to use a term like sell quality corporate business gifts to people and businesses that might have a need for them.
The third thing that must be included in your articles of incorporation is the name and address of your corporation’s registered agent. The registered agent is anybody in your corporation who is authorized to accept legal documents on the corporation’s behalf. For example, if your corporation is ever involved in a lawsuit the registered agent will be the person who is served with the papers.
The fourth and final requirement for your articles of incorporation is the stock information. With the stock information, you will want to include the type of stock that you will be issuing and the value of each share. You also want to include how many shares of stock your corporation is allowed to issue, if offering different types of stock you want to include how many shares of each type of stock you will be issuing.
While those are, the main requirements that you will need to have for the articles of incorporation you can still include other information about your corporation in general. Most articles of incorporation include the identity of the people who started the corporation. You can also include the identity of the director or directors. Whoever is identified in the articles of incorporation for being in charge of the corporation must sign the articles of incorporation before they are filed.
With how important the articles of incorporation are for your business it is imperative that you get them right. If you do not feel like you can prepare the articles of incorporation, yourself it is imperative that you get somebody, such as a corporate law firm to help you prepare the articles of incorporation. Corporate law firms are nice to use because they can help save you valuable time, which gets your corporation up and running sooner.
