Incorporate License For Free

Incorporating a business means turning your sole proprietorship or general partnership into a company formally recognized by your state of incorporation. When a company incorporates, it becomes its own legal business structure set apart from the individuals who founded the business.

Incorporating a business creates a legal entity called a corporation or company. An incorporated company has all the powers of a person and is independent from its shareholders. It can acquire assets, go into debt, enter into contracts, sue or be sued.

By ?incorporating? your business, you create a ?corporation.? Your business then becomes a legal entity with rights and obligations of its own. In most cases, the law considers a corporation to be a separate entity from the individual people who own it.

Basically, a limited company is the same as an incorporated company. The only difference is in the legal ending of the company name, ?Ltd.? or ?Inc.?

Once the BC Registry has approved and reserved the name of your business, the next step is to enter into an incorporation agreement. An incorporation agreement is a short document in which all the individuals incorporating the company agree to take shares of the company.

The corporation is its own legal entity. This means there is less liability for you?albeit you may be in less control of certain aspects of the business. But it is much less risky to own a business as a corporation. You have the option to incorporate at the provincial level or at the federal level.

To register as a corporation, you will need to: incorporate your business (obtain your articles of incorporation) through federal incorporation or provincial/territorial incorporation. get a federal business number and Corporation income tax account from the Canada Revenue Agency.

Incorporation is a process that grants your organization legal rights and recognition under the law. Incorporating an organization as a co?operative provides some formality and protection to the organization.

Incorporating your business may lead to lower taxes depending on your particular situation and on the province in which you operate. Once the business generates more income than you need for your living expenses, incorporating can save you money.

Incorporation is a form of business ownership that creates a distinct legal entity separate from its owners (shareholders) unlike legal business structures such as sole proprietorships and partnerships. When a corporation is created, each owner is issued shares proportional to the percentage of ownership.