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 Mentor, OH

Orientation to Incorporation in Mentor, 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.

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 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 OH 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 Mentor, OH
Arthur, Douglas
8039 Broadmoor Rd
Mentor, OH 44060
(440) 942-9980
Wills, Trusts & Estate Planning Attorneys,  Attorneys,  Elder Law Attorneys,  Family Law Attorneys
Dapore Anthony P Atty
8039 Broadmoor Rd
Mentor, OH 44060
(440) 975-9402
Attorneys
Higgins Jr Charles N
9930 Johnnycake Ridge Rd Ste 3C
Mentor, OH 44060
(440) 350-9270
Estate Planning Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys, General Practice At
Freeman Amy Marie
8440 Station St
Mentor, OH 44060
(440) 255-9100
Attorneys, Legal Service Plans
Dicello Robert J
7556 Mentor Ave
Mentor, OH 44060
(440) 953-8888
Attorneys,  Personal Injury Law Attorneys,  Insurance Attorneys,  Estate Planning Attorneys,  Litiga
Klammer Law Office LTD
6990 Lindsay Dr Ste 7
Mentor, OH 44060
(440) 974-8484
General Practice Attorneys, Attorneys, Criminal Law Attorneys, Legal Service Plans
Sacerich Thomas
8302 Yellowbrick Rd
Mentor, OH 44060
(440) 974-8081
Attorneys, Legal Service Plans
Miller Paul
7408 Center St
Mentor, OH 44060
(440) 974-7890
Attorneys, General Practice Attorneys
Sikora Law
8532 Mentor Ave
Mentor, OH 44060
(440) 266-7777
Attorneys, Legal Service Plans
Depledge Law Office
7408 Center St
Mentor, OH 44060
(440) 255-7755
Divorce Attorneys,  Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  DUI & DWI Attorneys
Rand Gurley & Hanahan
8570 Mentor Ave
Mentor, OH 44060
(440) 255-7711
Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Bankruptcy Services,  Bankruptcy Law Attorney
Koerner, James P - Rand Gurley Hanahan & Koerner
8383 Mentor Ave # 101
Mentor, OH 44060
(440) 255-7711
Attorneys, Family Law Attorneys, Divorce Attorneys, Litigation & Tort Attorneys
Denman & Lerner Co LPA
8039 Broadmoor Rd
Mentor, OH 44060
(440) 951-6666
Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Labor & Employment Law Attorneys,  Divor
Hartory Timothy Patrick
8320 Mentor Ave
Mentor, OH 44060
(440) 951-6599
Probate Law Attorneys,  Attorneys,  Family Law Attorneys,  Bankruptcy Law Attorneys,  Wills, Trusts
A Bankruptcy Advice & Helpline
8500 Station St
Mentor, OH 44060
(440) 942-6334
Bankruptcy Law Attorneys, Business Bankruptcy Law Attorneys, Attorneys
Sternberg & Zeid
7547 Mentor Ave #301
Mentor, OH 44060
(440) 942-6267
Bankruptcy Law Attorneys, Business Bankruptcy Law Attorneys, Estate Planning Attorneys
Frimel Michael P
7180 Bunker Cv
Mentor, OH 44060
(440) 635-6111
Estate Planning Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys
Paralegal Paradise Svc Inc
34649 Lake Shore Blvd
Mentor, OH 44060
(440) 339-5977
Paralegals
Hoglund Robert
8990 Tyler Blvd
Mentor, OH 44060
(440) 255-4669
General Practice Attorneys, Attorneys, Legal Service Plans
Richlak James D
9140 Tyler Blvd
Mentor, OH 44060
(440) 255-4400
General Practice Attorneys, Attorneys, Accountants-Certified Public
Richlak Dale
9140 Tyler Blvd
Mentor, OH 44060
(440) 255-4400
Attorneys, Accountants-Certified Public, General Practice Attorneys
Collins Leo R.
7333 Center St
Mentor, OH 44060
(440) 255-4244
Attorneys, General Practice Attorneys, Real Estate Attorneys
Barthol Werner
7327 Center St
Mentor, OH 44060
(440) 255-4100
General Practice Attorneys, Attorneys, Legal Service Plans
Manning & Manning Co Lpa
7556 Mentor Ave
Mentor, OH 44060
(440) 510-3400
Attorneys, Legal Service Plans, Business Law Attorneys, Real Estate Attorneys
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US