12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents
 
 
FINANCIAL & MARITAL

Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
 

Orientation to Incorporation in Zip Code 94209

Orientation to Incorporation in Zip Code 94209


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.

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 CA Last Will Create 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 CA Living Will Create This Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Related Legal Services near Zip Code 94209
A Servicio De Inmigracion
4729 Planz Rd
Bakersfield, CA 93309
(661) 836-9977
Immigration Law Attorneys, Immigration & Naturalization Consultants, Attorneys
McLaughlin Thomas G
3105 Lone Tree Way # D
Antioch, CA 94509
(925) 754-9900
Attorneys,  Labor & Employment Law Attorneys,  Personal Injury Law Attorneys,  Insurance Attorneys,
Harry Bryant - Farmers Insurance
5401 Business Park S Ste 106
Bakersfield, CA 93309
(661) 321-9888
Insurance,  Attorneys,  Homeowners Insurance,  Life Insurance,  Business & Commercial Insurance,  Au
Tooby Norton
6333 Telegraph Ave
Oakland, CA 94609
(510) 597-9856
General Practice Attorneys, Attorneys
Schwartz Paul M
2004 Cedar St
Berkeley, CA 94709
(510) 548-9800
Attorneys, General Practice Attorneys
And Justice For All
8900 Thornton Rd
Stockton, CA 95209
(209) 472-9750
Paralegals
Munoz Armando Bail Bonds
6657 45th St
Riverside, CA 92509
(951) 782-9688
Attorneys Referral & Information Service, Attorneys
Stephens Rand L
511 W 3rd St
Antioch, CA 94509
(510) 232-9335
Corporation & Partnership Law Attorneys, Attorneys, Labor & Employment Law Attorneys, Legal Service
Rapid Legal
14748 Pipeline Ave # B
Chino Hills, CA 91709
(909) 597-9177
Attorneys Referral & Information Service, Legal Service Plans, Attorneys
Harris E Weinberg Mediation
1388 Sutter St
San Francisco, CA 94109
(415) 674-8884
Legal Service Plans,  Mediation Services,  Attorneys,  Arbitration Services,  General Practice Attor
You Got Served - YGS Legal
4195 Chino Hills Pkwy #354
Chino Hills, CA 91709
(909) 815-8681
Criminal Law Attorneys,  Family Law Attorneys,  Paralegals,  Process Servers,  Insurance Adjusters,
R. Douglas Delgado Esq-CPA
5301 Office Park Dr
Bakersfield, CA 93309
(661) 325-8677
Accountants-Certified Public,  Attorneys,  Accounting Services,  Financial Services
Roggeveen Nguyen & Tran
3845 Stockdale Hwy
Bakersfield, CA 93309
(661) 396-8500
Attorneys,  Bankruptcy Services,  Legal Service Plans,  Bankruptcy Law Attorneys,  Personal Injury L
Karlen Cynthia K
122 Calistoga Rd
Santa Rosa, CA 95409
(707) 538-8429
General Practice Attorneys, Attorneys
William J Kelly Attny At Law
2740 Van Ness Ave # 300
San Francisco, CA 94109
(510) 741-8334
Attorneys
STEVEN JAY BROCK, INC., APLC
14071 Peyton Drive, #430
Chino Hills, CA 91709
(909) 627-8190
Labor & Employment Law Attorneys, Civil Litigation & Trial Law Attorneys, Business Law Attorneys, Di
McCormack Sandra
5330 Office Center Ct
Bakersfield, CA 93309
(661) 325-8163
Attorneys, Legal Service Plans
Guy Kornblum & Assoc
1388 Sutter St # 820
San Francisco, CA 94109
(415) 440-7800
Personal Injury Law Attorneys,  Attorneys,  Legal Service Plans,  Business Law Attorneys,  Insurance
Christopher B. Johnson
5861 Pine Ave
Chino Hills, CA 91709
(888) 503-7615
Attorneys, Wills, Trusts & Estate Planning Attorneys
Hobin Richard Law Office
1011 A St
Antioch, CA 94509
(925) 757-7585
Attorneys,  Probate Law Attorneys,  Accident & Property Damage Attorneys,  Real Estate Attorneys,  W
Joshi Law Group
2772 Gateway Road
Carlsbad, CA 92009
(619) 822-7566
Criminal Law Attorneys,  Immigration Law Attorneys,  Personal Injury Law Attorneys,  General Practic
Craig S Ewing
4475 Mission Blvd # 233
San Diego, CA 92109
(858) 273-7438
General Practice Attorneys, Legal Service Plans, Attorneys
Total Attorneys - Bankruptcy
PO Box 271686
Bieber, CA 96009
(530) 231-7343
Bankruptcy Law Attorneys,  Attorneys,  Banking & Mortgage Law Attorneys,  Bankruptcy Services,  Lega
Spar Mediation Svc
3922 Alta Vista Ave
Santa Rosa, CA 95409
(707) 544-7279
Arbitration Services,  Attorneys,  Counseling Services,  Mediation Services,  Legal Service Plans
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US