|
Incorporating your business - Your Choice. Generally, preparing certain documents as follows creates business entities: 1) Sole proprietorships do not require the filing of any formal documents.
2) General partnerships are not required by law to have any formal documents. However, it is recommended that the partners sign a written partnership agreement that explains how they will divide profits, make decisions, and handle other issues
3) Limited partnerships must file a certificate of limited partnership with the secretary of state for your state. This document must include certain basic information regarding names and addresses of the owners. In addition, it is recommended that the limited partnership have a partnership agreement that explains how the business will be managed and operated.
4) Corporations must file articles of incorporation with the secretary of state for your state. In addition, the corporation must have bylaws. The articles of incorporation include only basic information, while the bylaws provide rules for managing the business and regulating the affairs of the corporation.
5) Limited liability companies must file articles of organization with the secretary of state for your state. In addition, the LLC must have an "operating agreement" that is similar to a partnership agreement.
|
