How to Get Started on Your Certificate of Incorporation in Los Angeles
Starting a Business in Los Angeles? Get a Certificate of Incorporation4 min read
When you are starting a business in Los Angeles, one of the most important things to do is get a certificate of incorporation. A certificate of incorporation is an official document that officially recognizes the formation of your company. It acts as a testimony to the state of California that your business is legally formed and operating in the state. A certificate of incorporation also grants your business certain rights and obligations under the laws of California. It is essential for any new business seeking to operate on a professional level in Los Angeles to obtain a certificate of incorporation.
Getting started on your certificate of incorporation can seem daunting, but the process does not have to be complicated. In this article, we will provide a step-by-step guide on how to get started on your certificate of incorporation in Los Angeles. We will also discuss who can help you with the process and the benefits of obtaining a certificate of incorporation.
Step 1: Obtain Company Name Reservation
The first step to obtaining a certificate of incorporation is to obtain a company name reservation. This is done by contacting the Business Entities’ Department of the California Secretary of State. Your chosen company name must be approved by the Secretary of State in order to be valid. You may want to speak to a business attorney who is experienced in the California business law to ensure that your chosen name is appropriate and in compliance with the state’s requirements.
Step 2: Prepare the Articles of Incorporation
The next step is to prepare the Articles of Incorporation. The Articles of Incorporation is a document that defines the legal boundaries of the company. They include the company’s name, address, purpose, the type of shares being issued, the names and addresses of the officers and directors, and the name(s) and addresses of the shareholders. The document is filed with the Secretary of State.
It is important to keep in mind that the articles of incorporation must be compliant with the rules and regulations stipulated by the state. For a smooth and successful filing process, it is highly recommended that you consider seeking the advice of a business lawyer who is experienced with drafting Articles of Incorporation specific to the state of California. The lawyers at UpCounsel are experienced in local California business law and can provide you with the help you need.
Step 3: Submit Filing Fees
Once the Articles of Incorporation are completed and ready for submission, the filing fees must be paid. Filing fees vary depending on the type of company and how many share certificates you are looking to issue. If you are having trouble trying to figure out the filing fees for your company, a business lawyer in Los Angeles can advise you on the right amount.
Step 4: Submit Articles of Incorporation
Once the filing fees are paid, the Articles of Incorporation can then be submitted to the Secretary of State. You will need to complete and sign an original copy of the documents and send it by mail or in person to the Secretary of State’s office. Be sure to keep a copy of the documents for future reference.
Step 5: Receive Certificate of Incorporation
Once the document is received and approved, the Secretary of State will issue a Certificate of Incorporation which officially recognizes the legal formation of your company. This certificate is essential for the operation of your business and should be kept in a secure location for future reference.
Benefits of Obtaining a Certificate of Incorporation
There are numerous benefits to obtaining a certificate of incorporation for a business. Some of the most notable advantages include:
• Limited liability: Owners of the business are not held personally liable for the company’s debts or liabilities.
• Easier access to financing: Banks and other financial institutions are more likely to extend loans to incorporate businesses rather than sole proprietorships.
• Tax benefits: Businesses may be able to qualify for certain tax deductions.
• Professional image and credibility: Incorporated businesses are perceived as a more reliable and professional option than sole proprietorships.
• Increased organization and accountability: An incorporated business is held to a higher standard of organization and is more reliable in maintaining a record keeping system.
• Protection of assets: Incorporating a business can prevent distributors and debt collectors from seizing company assets in order to pay creditors and debts.
As you can see, obtaining a certificate of incorporation is an important step for any business venture in Los Angeles. It can not only provide numerous benefits to the business, but also grant it the legal recognition and authority it needs to go forth and operate on a professional level.
If you are having trouble getting started on your certificate of incorporation, you may want to consider seeking the help of a business lawyer in Los Angeles. Business lawyers who are experienced in California business law can provide you with the advice and guidance you need to ensure a smooth process. The expert attorneys at UpCounsel are standing by to help.