California State is the beautiful sunshine state, home to millions of people and thousands of businesses. It is a very popular state to form a business in and we have information about forming a corporation, LLC or finding other crucial business services for every company.
Incorporation in California
To incorporate in California, you'll need to file the correct documents with the California Secretary of State and pay the required filings fees. You will get a copy of the filing once completed, but you can also get extra copies or a certified copy if you need one. Most people will order the extra certified copy to have just in case, and this is just a small extra fee.
Once you have a good name, you will need to have the name of a Registered Agent. The registered agent, is an individual who is willing to receive mail on behalf of the corporation at a specific address.
You will need to supply a business address and mailing address.
You need to supply information about the class of shares and the number of shares issued.
You will supply a purpose for the business, which can be a general purpose statement for the business.
Finally, you will need to have the articles signed by an incorporator.
The process of incorporating isn't too hard, and there are service companies who can help you to file the necessary documents if needed.
Form an LLC in California
To form an LLC in California, you'll need to file Articles of Organization with the Secretary of State in Sacramento. The documents can be mailed in, walked into a local Secretary of State office, sent via Fedex, or expedited for an additional fee. Whichever method you choose to file, you'll need to make sure that you send in the appropriate payment with your filing.
Benefits of Filing LLC in CA
Limited liability protection - this is a benefit of both the LLC and the corporation entity type. It can be really valuable in that it keeps a separation between the personal assets and business assets of the corporation. This separation can be invaluable when a court makes judgment against a business owner. The personal assets typically are not responsible for satisfying a judgment.
Pass through taxation - The taxation passing through the business can save a lot of money for the business over time by avoid double taxation. The concept of double taxation occurs when the business pays taxes on the income at the corporate level, then once again when retained income is distributed in the form of a dividend.
Naming an LLC in California
The LLC name must include: LLC, L.L.C., Limited Liability Company, Limited Liability Co., Ltd. Liability Company, or Ltd Liability Co. You can conduct a business name search for an LLC name on the SOS website. You may also want to reserve a domain name at the time that you start the process for registering your LLC. If this is the case, you can visit GoDaddy.com.
This is a site dedicated to Small Businesses and dedicated to saving you both time & money. We specialize in content, and research, and saving money. So, we spend our time finding the best resources for small business owners to help them accomplish their goals in the most efficient and cost effective way. If you are looking to form a corporation or LLC, we encourage you to visit our pages regarding these two important topics. We have information about all 50 states, as well as tips, guides, forms, and links to help you file online or in the privacy of your home.