What is a Corporation?
Firm that meets certain legal requirements to be recognized as having a legal existence, as an entity separate and distinct from its owners. Corporations are owned by their stockholders (shareholders) who share in profits and losses generated through the firm's operations, and have three distinct characteristics (1) Legal existence: a firm can (like a person) buy, sell, own, enter into a contract, and sue other persons and firms, and be sued by them. It can do good and be rewarded, and can commit offence and be punished. (2) Limited liability: a firm and its owners are limited in their liability to the creditors and other obligors only up to the resources of the firm, unless the owners give personal-guaranties. (3) Continuity of existence: a firm can live beyond the life spans and capacity of its owners, because its ownership can be transferred through a sale or gift of shares.

Corporate Formation

Your specific goals, partnership aims and liability protection neds will help us determine which type of entity to structure for the needs of your business. Each type of entity formation offers benefits and risks that we will help you understand and manage. We will help you consider each type of entity on the merits unique to your circumstances:

• C corporation
• S corporation
• Limited liability company (LLC)
• Limited liability partnership (LLP)
• Partnership
• Joint venture
• Sole proprietorship

Whether your business is a startup, spin-off, or new venture of an existing business, we will help you make informed decisions and guide you through all the stages of formation.

Corporate Compliance

What Is Corporate Compliance?
Corporate compliance refers to the things you'll need to do after incorporating to keep your business in good standing with the law. Individual state's laws dictate the necessary steps for maintaining corporate compliance. The laws of the state where you incorporate will dictate what’s necessary for keeping your corporation in compliance, and state laws vary. However, most states share a number of common requirements. Some of the most common ones include regular business meetings and separation of business and personal assets.

Consequences of non-compliance
When a corporation is a sham, engages in FRAUD or other wrongful acts, or is used solely for the personal benefit of its directors, officers, or shareholders, courts may disregard the separate corporate existence and impose personal liability on the directors, officers, or shareholders. In other words, courts may pierce the "veil" that the law uses to divide the corporation (and its liabilities and assets) from the people behind the corporation. The veil creates a separate, legally recognized corporate entity and shields the people behind the corporation from personal liability.

As a result, just establishing a new corporation is not sufficient. The newly formed corporation needs to be maintained and operating as a separate entity.

Allow our experts to provide you with a customized analysis to determine which entity best suits your business needs. Start your business today, call us for a free consultation.