You may be taking that scary next step in your professional life when you
are developing your work into a full-fledged business. Finally . . . something that
you can see growing and prospering and making a name in the business community. That is a
proud moment but it can be a very intimidating one as well.
acquired the skill and you have the products and you have developed a terrific customer list.
You're almost ready to hit the road. One other thing you should probably give some
thought to is incorporating. Its not hard to do, and it requires only modest and
reasonable attention and it can be a big source of protection and peace of
You've probably already done much of what is
necessary in formalizing the effort. You have probably picked an available name.
You already know your purpose. You know the owner participants. You know what you will
start with as an investment, you know what your assets are and you've got a good
With this in mind, you can establish your business as a
corporation (probably a Sub-section "S" corporation registered with the IRS which protects
you but still allows you to be taxed as an individual). You can even fill out the
forms on line for most registrations. It is recommended that you some direction from an
attorney, but if you don't ask an attorney to prepare the documentation, you should be sure to
ask one to help you with the completion of your corporate records, minutes, and issuing stock
certificates. You should also get advise on entering leases and negotiating
contracts. It would be re-assuring to have an attorney that you could run things by
A corporation can protect its owners from liability
and often can provide tax benefits as well. Its important that you begin now to protect
yourself from loss of what you've worked so hard to build up. A corporation is not a
complete veil of protection in every instance, but it is a good vehicle in transporting your
business to where you want to take it in the future. It can serve as a good first step and can
certainly help in many situations that can threaten a
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