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Self-filing for Incorporation

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Incorporation can be an equally important and intimidating task for the owner of a company, and because it’s also so expensive, many people prefer to file for incorporation without the help of an outsider. This will certainly save a soon-to-be corporation a lot of money. But unless a company’s owner knows what he or she is doing, it can be a great waste of time and effort and it can also hinder the incorporation process and render the company vulnerable to all kinds of problems.

So if you’re interested in self-filing for incorporation, it’s a good idea to get well-versed in all the jargon and learn about each and every step you’ll have to take. You may want to get an attorney on your side, regardless, if only to address concerns as they come up. And they most certainly will come up!

Here is a simple introduction to incorporating your business. The first question you must ask is: “what kind of corporation do I want to form?” There is a lot of literature, on and off line, that can help you find an answer – ultimately, it will depend on the size and function of your wannabe corporation. As you continue on with incorporation, keep in mind that the laws vary from state to state and county to county. You must constantly research the legality of every aspect of incorporation before you make any official decision.

Now, another important decision you will make is what state to file for incorporation in. For many, this decision will be an easy one, as you’ll file for incorporation in whatever state your company is located in. But what if you have more than one company spread out across states? Again, research the laws in the multiple states and pick the state that will be most auspicious for your corporation. Some state laws are more favorable toward businesses than others.

Here’s the fun part. What are you going to call your corporation? While you want to encourage the creative juices to flow, you won’t have total freedom in choosing a name. Some names are taken. With the help of the Internet and the United States Patent and Trade Office, you should discover what options are off the table pretty soon.

Now for the monotonous part. You must elect someone to register the company and also do all he filling for incorporation. That person could very well be you. This is indeed cost effective. Just make sure you know what you’re doing first, or you might find yourself in over your head.

Once you’re through with this process, you can start the real  and more exciting work: determining the structure of your corporation, its Board of Directors, bylaws, etc.

So, do you think you’re ready to self-file for incorporation? The more informed you are, the better prepared you will be to get your corporation up on its feet without the help of an attorney or incorporation service. But the money saved won’t be worth it if you are ignorant about incorporation, because your mistakes will likely be costly ones.

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