Menu Close - How to Become a Corporation

How to Become a Corporation

How to become a Corporation? To become a Corporation, you must file Articles of Organization with your county clerk. This information can be found online at your local county clerk’s office. One of the very first steps to beginning a business is to set up a legally recognized company structure. You do not want to assume the role of a C corporation or an S corporation; it is much more complicated and it takes longer.

The Articles of Organization must provide for the different classifications of members that make up the corporation. Each classification must have at least one and only one director and share holder. The next step in how to become a corporation is to name the company.

To do this, the company must designate a special financial and operating committee. These two groups are commonly referred to as shareholders and partners. The general terms for corporations are members, owners and corporation.

Every member of a corporation must have a written notice of membership. This notice is called an annual report. An annual report is required for every active member. A notice of membership can be delivered by the secretary of state or the office of the register of deeds. The record office must provide a copy of this notification.

How to become shareholders? Every member must have a right to vote. In order to do this, he or she must have purchased enough shares of the corporation’s stock to qualify for such a right. There are several ways to purchase a share of stock. Some business owners choose to participate in an exchange program.

Limited liability corporations are different from other corporations in some ways. These corporations are considered to be “vertically integrated.” This means that they are created by creating a separate legal entity rather than being created as a partnership by two or more individuals. This creates a new set of Articles of Organization for the corporation.

How to become a corporation involves many elements. The first step is filing a notice of incorporation. Next, the Articles of Organization must be prepared and sent to the Secretary of State. They provide the rules and instructions for how the corporation will be run. At this point, filing fees are due and must be paid.

How to become a corporation can be confusing and lengthy. Business continuity planning, however, can help guide potential shareholders through the process. By creating a separate legal entity, business continuity is enhanced. By knowing the steps to incorporate a corporation and keeping it updated as necessary, all shareholders can become involved in their corporation’s future success.


One of the most important considerations when how to become a corporation is business continuity. Once an Articles of Organization has been filed with the Secretary of State, it will remain in effect until it is revoked. When this occurs, the original Articles of Organization will be terminated and the new Articles of Organization take effect. The new Articles of Organization will continue the process by incorporating the corporation and creating its limited liability. Limited liability protects the assets of the corporation and allows investors and creditors to collect their investment from the corporation instead of the founder.

The next step in how to become a corporation is to appoint a registered agent. This person serves as the company’s representative on all state and federal filings and tax payments. The registered agent also makes sure that all of the necessary paperwork and tax documents are filed properly and is available to anyone who needs it. Anyone can start a business, but not everyone has the time to devote to such work.

The final step in how to become a corporation is to incorporate the business. All of the filings, along with any necessary changes, are made through the registered agent. Each state requires certain forms for incorporation, and the most common among them include the Articles of Organization, Corporate Name, and Memorandum and Articles of Organization. Every corporation must have a registered agent, who must be a resident of the state where the business will be registered.

Learning how to become a corporation isn’t difficult. Once the process is complete, all future corporations must go through the same process to register. However, there are many other factors that determine whether or not a business will be successful. Successful corporations have good business continuity, a registered agent, a written Articles of Organization, and a corporate bylaws. By taking the time to learn about how to become a corporation, businesses can save themselves a lot of headache and hassle later on.

How to Become a Corporation

error: Content is protected !!