Create Your C-Corp
With Expert Guidance

A corporation is a legal entity created by individuals — referred to as stockholders or shareholders — to conduct business. When you incorporate a business, you’re creating a legal “person” that exists independently, carrying its own set of rights and obligations.

This separation means the corporation itself can own assets, enter contracts, sue and be sued, and even possess its own credit ratings. Key components of a corporation include its board of directors who make high-level decisions as well as the shareholders who invest their money in the company and, in return, get a say in some of these decisions.

From safeguarding personal assets to attracting investors, incorporating provides several advantages that can set your business up for long-term success.

Benefits of forming a corporation include:

• Limited liability: You are generally not responsible for the debts of the corporation. If someone sues the corporation, they usually can’t go after the personal assets of the shareholders.
• Ability to issue shares: Your corporation can sell shares to investors to raise money.
• Unlimited number of investors: This is important for growth.
• Unlimited classes of shares: Issuing classes of non-voting or limited voting shares allows you to keep control of the corporation.
• Ability to go public: You can become a public corporation, selling shares in the stock markets.

1. Choose a business name for your corporation
2. Appoint a registered agent
3. File the Articles of Incorporate with your Secretary of State
4. Hold your first meeting and choose directors for your corporation
5. Create corporate bylaws and a shareholder agreement
6. Issue stock certificates
7. Apply for an EIN for your corporation
8. Obtain necessary business licenses and permits

Navigating the incorporation journey can be daunting, but you’re not alone. We’ll guide you through the bureaucratic hurdles, providing your corporation with a solid and stress-free foundation. Let us be your ally in this pivotal business step.

Forming an LLC (limited liability company) and incorporating refer to creating two distinct legal business structures. Limited liability companies are designed for flexibility, offering personal liability protection without the stringent regulations that corporations must follow.

On the other hand, incorporation typically results in a C-Corporation or S-Corporation, which come with shareholder structures, stricter compliance, and distinct tax implications.

Although there are many advantages to forming a corporation, there are also some disadvantages as well including:

• Higher cost: The corporation is more expensive to maintain and administer because compliance with regulations means keeping extensive records.
• Double taxation: Corporation income is taxed at the corporate rate, and dividends issued to shareholders are taxed at the individual income tax rate.
• Losses are not deductible: Business losses can’t be deducted from owner/shareholder income.

You can get tax filing and other services via our partners at 1-800Accountant. And, the ZenBusiness app features Money Pro, a tool that allows you to maximize tax deductions, send invoices, and get paid fast.

The steps in starting a corporation include:

1. Choose a business name for your corporation
2. Appoint a registered agent
3. File the Articles of Incorporate with your Secretary of State
4. Hold your first meeting and choose directors for your corporation
5. Create corporate bylaws and a shareholder agreement
6. Issue stock certificates
7. Apply for an EIN for your corporation
8. Obtain necessary business licenses and permits
9. File a Beneficial Ownership Information report

The process of forming a C corporation with ZenBusiness involves filling out a simple online application, providing some basic business information, and paying a small fee for the state filing fee.