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A corporation is a business entity created by filing formation documents with the state, a process also known as incorporation.
Just like an LLC, a corporation is a legal entity that is separate from its owners, which can protect you from any business liabilities or debts. However, corporations offer other important benefits, like shareholders and the ability to seek outside investors.
There are several advantages of forming a corporation. Incorporating offers liability protection, which means that owners of a corporation are generally not personally responsible for business obligations like debts or lawsuits. Incorporation also allows you to add shareholders and raise money from outside investors.
A limited liability company is a different type of business entity than a corporation. Each one has unique formation requirements, tax requirements, and ownership structure. Typically, LLCs have more flexible tax requirements and fewer reporting requirements, but corporations make it easier to transfer ownership—shares of stock—and court outside investors.
Corporations are typically required to adopt by-laws, hold annual shareholder meetings, issue written corporate resolutions for significant decisions, and file annual reports. Our service allows you to efficiently form your corporation the right way. We also have packages with essential documents and services to meet these corporation requirements and keep you in compliance.
Raise funds by appealing to investors who may prefer corporations for the ability to offer stock.
Attract and keep top talent by offering competitive benefits packages that include shares of your company.
Corporations are often seen as more credible, which can make it easier to do business with other companies.