If a business person needs help forming a corporation, this video talks about everything. However, not knowing the regulations can land an owner in trouble. Here are a few things every business owner needs to consider before deciding to form a corporation.
Choosing a Business Name
It’s good to start with a name that is easy to remember and pronounce. Additionally, a business owner needs to take care of patent and intellectual rights.
If the owner is planning to use a fictitious name, it’s best to check the laws of each state.
After the initial stage, it’s time to appoint the directors and registered agents for the corporation. These are the people who will take care of the business on a regular basis.
Write the Bylaws
Bylaws are a set of rules and regulations that will govern your corporation. Hence, it’s crucial to double-check them.
Drafting a Shareholder Agreement
Finally, the most important step is to draft the shareholder agreement. These are the basic steps to forming a corporation. It’s a good idea to have a lawyer review the documents to avoid any potential legal issues.