How to Get Incorporated

Learning how to get incorporated will help you to create a separate business entity and a shield for your personal assets. A corporation offers business owners several benefits, but the most popular one is the ability to protect against personal liability. If a client sues you for negligence as a result of the graphic or web design services you provide, then they are limited to the assets that your corporation owns. They cannot, in most cases, successfully sue you for your house and personal property because these are not owned by your corporation. Here’s what you need to know to get incorporated and to take advantage of the benefits of incorporating:

Do-It-Yourself

The least expensive way to get incorporated is to file your own paperwork. The thought of creating your own legal entity can be intimidating, but it’s easier than you think. The tough part is deciding whether to incorporate in the first place, and what type of corporation is best for your business. There are many legal resources on the web that have great information on the subject, including www.findlaw.com and www.nolo.com. You can also consult with a small business attorney, but still incorporate your own business.  The steps to get incorporated are:

• Choose your state of incorporation
• Select directors for your board
• File “Articles of Incorporation” or “Articles of Organization” with the Corporations Division in the state or the Secretary of State’s office
• Pay the fees of incorporation

Once you take these steps, your business will be incorporated. These are only the first steps though, because you’ll need to work on getting licenses, writing bylaws for the corporation and the major legal agreements that you’ll need to operate your business.

Incorporation Services

A more convenient option is to get incorporated through a business filing or corporation service. These companies hire paralegals, legal assistants and other professionals to file the necessary paperwork for you. Some incorporation services are founded by and run by attorneys, which has some advantages. For example, you won’t have to figure out the appropriate paperwork that you need for your corporation type, because they will file what you need. You can also incorporate in another state a lot easier when you let them do it for you. The advantages of using these services include:

• Fill out an online form instead of paperwork that you’ll file with a state
• Get guidance on the proper paperwork to file
• Incorporate from the comfort of your home
• Have a registered agent for your corporation

You’ll have to pay for the convenience, but many incorporation services offer competitive prices. Consider all of the bonuses and perks that each service offers to help you make the best choice.

Small Business Attorney

The best way to get incorporated is to let a small business attorney do it for you. It’s also the most expensive option. Lawyers know that they are competing with incorporation services and many have seen the light and offered a lower fee to clients. What you should avoid is an attorney who wants to charge you by the hour to incorporate your business. Find one who will take care of your paperwork for a flat fee, so that you know what to expect. The primary benefit of using an attorney is the advice you’ll get along with getting incorporated.

It’s important to understand the legal obligations associated with launching and maintaining a corporation. You need to determine whether it’s a good idea to get incorporated, and then decide on the best method of incorporation based on your budget.