What do I Need to Know About Creating a Corporation?
When creating a business, there are many different types of business entities to choose from. One of these can include a corporation. Continue reading below to learn more about this business entity and contact an experienced New Jersey business formation attorney for guidance during this time.
How do I Create a Corporation?
Once you have decided you want to create a corporation, there are many different tasks to complete. This can include:
- Choose business name that is available and complies with New Jersey’s corporation rules
- Appoint the initial directors of your corporation
- File formal paperwork, usually known as “articles of incorporation” and pay the filing fee
- Create corporate bylaws to lay out the operating rules for your corporation
- Hold the first meeting of the board of directors
- Issue stock certificates to the initial owners (shareholders)
- Obtain any licenses and permits that are necessary
Choosing a Corporate Name
In New Jersey, the corporate name of a domestic or foreign corporation must abide by the following:
- Does not contain any word, phrase, or abbreviation that indicates or implies that it is organized for any purpose other than one or more purposes permitted by its certificate of incorporation
- Does not have the same or similar name to the corporate name of any domestic corporation
- Does not contain a word, phrase, or abbreviated that is prohibited or restricted by any other statute in New Jersey
- Shall contain one of the following: “a New Jersey nonprofit corporation,” “incorporated,” “corporation,” “inc.,” or “corp” unless it is a corporation which could organize pursuant to the provisions of Title 16 of the Revised Statutes
The state’s corporations office can tell you how to find out if your proposed name is available for use. In some cases, you can reserve your corporate name for a short time until you file your articles of incorporation. This may be done for a small fee.
Filing Articles of Incorporation
Once the name is chosen and directors are appointed, you must file “articles of incorporation” with the state’s corporate filing office. These documents do not have to be long or complicated. Usually, they can be prepared in a few minutes by filling out a form provided by the state’s corporate filing office. These must specify a few details about the corporation such as its name, principal office address, and sometimes the names of its directors.
Obtaining Licenses and Permits
When the articles are filed, bylaws are created, the first directors’ meeting was held, and stock was issued, you must obtain the necessary licenses and permits. This can include a business license. You may also need an employer identification number from the IRS, a seller’s permit from the state, or a zoning permit from your local planning board. An experienced attorney can help during this time.
Contact our Firm
The Law Offices of Richard E. Novak, LLC has over 25 years of experience helping clients through tough times when they need it most. If you need assistance with any intellectual property, traffic violations, or business law matters, our firm is here to help. It is critical that you pick the right attorney who can protect your rights. Contact The Law Offices of Richard E. Novak, LLC for a consultation.