Articles of Incorporation and their Significance
Planning on starting your own business? If the answer is YES, then you'll be well aware that you need to produce an Article of Incorporation to the Secretary of State. This can be a daunting task for anybody, even the most experienced with running a business - let alone a novice first timer!
What exactly is an Article of Incorporation?
An Article of Incorporation basically acts as an initial agreement between your corporation and the State that establishes the basic entity of your business. The Article of Incorporation provides to the State the fundamental identifying and operating characteristics of an organisation, with basic information such the corporation's name, address, stock information, and the said corporation's business strategy.
It is an essential document, and is usually outsourced to a legal or business professional to ensure correct production of the file before it is forwarded to the business registration body.
Articles of Incorporation are required for both profitable and non-for profit organisations, private or public, large-scale and small.
There is a typical 'filing' fee that can range from $30 to $300, but it is quite variable from state to state.
Writing an Article of Incorporation Yourself
Whilst it is often suggested that new businesses seek the advice and skills of a business attorney for assistance in writing their Article of Incorporation, there is no reason why the business shouldn't attempt to write it themselves, and save themselves considerable money in the process.
The document itself can be produced relatively simply, especially with the aid of a number of online websites which provide templates and samples to help with the production process.
This self-help concept has boomed considerably in the past decade, with more and more accomplished businesspeople providing their expertise and knowledge on the internet to help encourage fellow Americans - and people worldwide - to start their very own business.
If you do plan on doing it yourself, it is important that you ensure the incorporation is produced at a professional standard and has a polished finish. This gives your business the best opportunity to have its corporate entity approved swiftly and with minimal hassles.
Things to Include in an Article of Incorporation.
When providing a list of things to include in an Article of Incorporation, it is best to be exhaustive, rather than minimalistic. The more information a hopeful corporation is able to provide to the State, the more chance of approval. This highlights that the corporation is serious about becoming an organisational entity, and has put considerable time and effort into the incorporation process.
Of course an Article of Incorporation would begin by listing the corporation's name, which has to be unique and not clash with any other corporations within the State's jurisdiction.
The corporations operating address will need to be documented, in addition to the corporation's suggested board of directors. In some cases the corporation will be required to explain in specific detail the intended operations of the business and the business strategy that they intend to implement.
A detailed description of the business strategy and operations however, will not always be required, as these can be typically provided in the corporations by-laws. If the corporation is to be a stock corporation, information regarding the number of shares and their initial distribution will also need to be documented. The classes of each share and the value of each should also be reported.
Information regarding a registered agent must also be provided, which will include the agents address where legal correspondence will be forwarded. If you intend on completing the Article of Incorporation process yourself, then this will be your personal address.
An Important Part of the United States of America's History.
Articles of Incorporation are an important part of the United States of America's development as a democratic nation. Their significance is held very much in the tradition that has continued for decades.
In addition to providing a 'first step' for the individual who is starting a corporation in the United States, it provides the State with important information so that they can protect the individual and ensure that the Governments are fully aware of the corporations that function within it.
So what are you Waiting for? Get Writing!
If owning and operating your own business is a dream, then one of the first processes will need to be to produce documentation to the State in the form of an Article of Incorporation. It's best to do it as soon as possible to prevent the delays that can be commonly experienced in the business sector.
Care should be taken whilst producing an Article of Incorporation and appropriate measures should be taken, whether they are the seeking of a professional to write the documents, or perhaps researching the best method to do it yourself. Whichever option you take - Best of luck! May all your business dreams come true!
What exactly is an Article of Incorporation?
An Article of Incorporation basically acts as an initial agreement between your corporation and the State that establishes the basic entity of your business. The Article of Incorporation provides to the State the fundamental identifying and operating characteristics of an organisation, with basic information such the corporation's name, address, stock information, and the said corporation's business strategy.
It is an essential document, and is usually outsourced to a legal or business professional to ensure correct production of the file before it is forwarded to the business registration body.
Articles of Incorporation are required for both profitable and non-for profit organisations, private or public, large-scale and small.
There is a typical 'filing' fee that can range from $30 to $300, but it is quite variable from state to state.
Writing an Article of Incorporation Yourself
Whilst it is often suggested that new businesses seek the advice and skills of a business attorney for assistance in writing their Article of Incorporation, there is no reason why the business shouldn't attempt to write it themselves, and save themselves considerable money in the process.
The document itself can be produced relatively simply, especially with the aid of a number of online websites which provide templates and samples to help with the production process.
This self-help concept has boomed considerably in the past decade, with more and more accomplished businesspeople providing their expertise and knowledge on the internet to help encourage fellow Americans - and people worldwide - to start their very own business.
If you do plan on doing it yourself, it is important that you ensure the incorporation is produced at a professional standard and has a polished finish. This gives your business the best opportunity to have its corporate entity approved swiftly and with minimal hassles.
Things to Include in an Article of Incorporation.
When providing a list of things to include in an Article of Incorporation, it is best to be exhaustive, rather than minimalistic. The more information a hopeful corporation is able to provide to the State, the more chance of approval. This highlights that the corporation is serious about becoming an organisational entity, and has put considerable time and effort into the incorporation process.
Of course an Article of Incorporation would begin by listing the corporation's name, which has to be unique and not clash with any other corporations within the State's jurisdiction.
The corporations operating address will need to be documented, in addition to the corporation's suggested board of directors. In some cases the corporation will be required to explain in specific detail the intended operations of the business and the business strategy that they intend to implement.
A detailed description of the business strategy and operations however, will not always be required, as these can be typically provided in the corporations by-laws. If the corporation is to be a stock corporation, information regarding the number of shares and their initial distribution will also need to be documented. The classes of each share and the value of each should also be reported.
Information regarding a registered agent must also be provided, which will include the agents address where legal correspondence will be forwarded. If you intend on completing the Article of Incorporation process yourself, then this will be your personal address.
An Important Part of the United States of America's History.
Articles of Incorporation are an important part of the United States of America's development as a democratic nation. Their significance is held very much in the tradition that has continued for decades.
In addition to providing a 'first step' for the individual who is starting a corporation in the United States, it provides the State with important information so that they can protect the individual and ensure that the Governments are fully aware of the corporations that function within it.
So what are you Waiting for? Get Writing!
If owning and operating your own business is a dream, then one of the first processes will need to be to produce documentation to the State in the form of an Article of Incorporation. It's best to do it as soon as possible to prevent the delays that can be commonly experienced in the business sector.
Care should be taken whilst producing an Article of Incorporation and appropriate measures should be taken, whether they are the seeking of a professional to write the documents, or perhaps researching the best method to do it yourself. Whichever option you take - Best of luck! May all your business dreams come true!