Easy Questions  
Free Legal Documents

Orientation to Incorporation in Attica, OH

Orientation to Incorporation in Attica, OH


Many companies expect loyal customers without providing loyal service. This has been the visionary failure of countless corporations.
 
- Steve Maraboli


Forming a corporation limits the personal liability for business debts. However, there is more to the creating and running a corporation than doing paperwork. You have to spend your time in the business keeping a good record of all the business activities so that you will not find it hard to handle more complicated tasks like filing a corporate tax return. In terms of limiting liability, you have to be sensible in terms of decision making and record keeping. Getting organized is the key.

How to Form a Corporation

• File an "Articles of Incorporation" at the corporate divisions in the secretary's office of your state government.

• Create a corporate "bylaws" that states the basic rule that govern the ongoing decision or formalities of the corporate life.

• Issue stock certificates of the initial owners or shareholders of the corporation and document the ownership interest or the shares of stock in the business.


To retain the corporate status as a legal, separate entity, certain formalities should be observed by the owners of the corporation. This includes:

• Holding of directors' and annual shareholder meetings

• Minutes of meetings and agreement or decisions should be documented

• Signing of documents by the corporate officers and directors should be done under the name of the corporation

• Bank accounts are separate from the personal accounts of the owners

• Maintain a detailed financial records

• Income tax return should be filed separately

Limited Personal Liability

Personal assets of the people involved in the corporation are protected from the creditors. In cases where a corporation owes a creditor, your personal assets is protected because only corporate assets will be use to pay the debts. The only money you will likely end up losing, is the money you have invested in the corporation.

Exceptions to Limited Liability

There are situations where the owners' personal asset is not protected by limited liability. The owner of the corporation will be held personally responsible if:

• Directly and personally injured another person

• Personally guarantees a bank or business loan which the corporation fail to pay

• Fail to deposit withhold taxes from employees

• Intentionally engage in fraudulent causes that can harm the company

• Treats the corporation like an extension of his personal affairs and not as a separate legal entity

Corporation should be treated as a separate legal entity. This is the very important especially in cases involving court proceedings. The court can rule that the corporation does not exist and the owners should not be shielded from their personal liability for their actions. This is likely to happen if you did not follow the routine corporate formalities such as:

• Adequately investing money in the corporation

• Formal issuance of stock to the initial shareholders

• Holding of meetings regularly of the directors and shareholders

• Keeping a separate business records and transactions from those of the owners


Liability Insurance

Forming a corporation can protect your personal assets but it should not be an excuse for not getting insurance. Insurance can be a good investment that can protect the company from lawsuit and claims. The risk of doing business can be minimized by getting a solid liability insurance policy. Any claims made by the corporation can be covered by the insurance as long as the corporation is also doing its part like paying the bills and other corporate responsibilities.

Paying Corporate Income Tax

Corporate income tax refers to the taxes paid by the corporation on whatever profits they left after it has paid all the available expenses like salaries, bonuses, overhead and other expenses. It uses a tax return form to be filed to the IRS and pay taxes at a special corporate rate tax. In terms of the owner, if he is working for the corporation, he should be paid a salary and possible bonuses like other employees and pay their taxes using their own personal tax return.

Corporation shareholders can choose to elect an S corporation status by filling at the IRS a tax Form 2553. Using this form can mean that the corporation will be treated like a partnership where business profits and loss will be reported on the each shareholder‘s individual tax returns.

 
Personalize & Print a Free OH Last Will Download this Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
 
Personalize & Print a Free OH Living Will Download this Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Related Legal Services near Attica, OH
Rathburn & Associates
3163 S High St
Columbus, OH 43207
(614) 497-9918
Estate Planning Attorneys,  Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Social Secur
Thompson C Richard Co LPA
371 Lexington Ave
Mansfield, OH 44907
(866) 950-9468
Attorneys, Criminal Law Attorneys, Wills, Trusts & Estate Planning Attorneys, Business Bankruptcy La
Reulbach Jr John L
14701 Detroit Ave # 575
Lakewood, OH 44107
(216) 227-9000
Attorneys, Legal Service Plans
The Sleibi Law Firm
13326 Madison Ave
Lakewood, OH 44107
(216) 521-8800
General Practice Attorneys, Attorneys
Beetham Rupert
110 S Main St
Cadiz, OH 43907
(740) 942-8282
Attorneys, General Practice Attorneys
Paar Amanda M
2500 Firstmerit Cir Tower
Akron, OH 44307
(330) 253-8242
General Practice Attorneys, Attorneys, Legal Service Plans
Costanzo Raymond J
13317 Madison Ave
Lakewood, OH 44107
(216) 226-8241
General Practice Attorneys, Attorneys, Legal Service Plans
Jerger Joseph L
362 Lexington Ave
Mansfield, OH 44907
(419) 756-7711
Attorneys, General Practice Attorneys, Legal Service Plans
Shannon G. Becker, LLC
1007 Lexington Ave
Mansfield, OH 44907
(419) 709-7577
Civil Litigation & Trial Law Attorneys, Estate Planning Attorneys, Attorneys, Business Law Attorneys
Endress & Endress Co
17119 Madison Ave
Lakewood, OH 44107
(216) 228-7550
Attorneys, Legal Service Plans
Canary Nancy H
12500 Edgewater Dr
Lakewood, OH 44107
(216) 226-7466
Attorneys
Brown & Szaller Co LPA
14222 Madison Ave
Lakewood, OH 44107
(216) 228-7200
Accident & Property Damage Attorneys, Attorneys
Murman Michael E
14701 Detroit Ave
Lakewood, OH 44107
(216) 228-6996
Attorneys, General Practice Attorneys, Legal Service Plans
Bayer Jerger & Underwood
362 Lexington Ave
Mansfield, OH 44907
(877) 776-6797
Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Probate Law Attorney
Mark Kindt
16004 Detroit Ave
Lakewood, OH 44107
(216) 521-6024
Attorneys, General Practice Attorneys
Franco Robert A.
1007 Lexington Ave
Mansfield, OH 44907
(419) 524-5938
Elder Law Attorneys, Attorneys
Tzangas Plakas Mannos & Raies
2500 Firstmerit Cir Tower
Akron, OH 44307
(330) 784-5466
Accident & Property Damage Attorneys,  Attorneys,  General Practice Attorneys,  Legal Service Plans
Thompson C Richard
371 Lexington Ave
Mansfield, OH 44907
(419) 522-5297
Bankruptcy Law Attorneys, Probate Law Attorneys, Attorneys
T. Michele Lynch
13317 Madison Ave
Lakewood, OH 44107
(216) 226-5090
Attorneys,  Bankruptcy Services,  Bankruptcy Law Attorneys,  General Practice Attorneys,  Legal Serv
Roose & Ressler LPA
1221 S Trimble Rd Suite A-2
Mansfield, OH 44907
(855) 238-5041
Civil Litigation & Trial Law Attorneys,  Attorneys,  Social Security & Disability Law Attorneys,  Ap
Maria L. Shinn, LLC
14837 Detroit Avenue, #282
Lakewood, OH 44107
(216) 228-4791
Estate Planning Attorneys, Attorneys, Probate Law Attorneys
Feighan & Feighan Law Offices
14516 Detroit Ave
Lakewood, OH 44107
(216) 226-4747
General Practice Attorneys, Attorneys
Bass-Lyons Meeta
105 Jamison Ave
Cadiz, OH 43907
(740) 942-3700
Attorneys, General Practice Attorneys
Waag Christian F
14701 Detroit Ave # 540
Lakewood, OH 44107
(216) 221-3100
Attorneys
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US