Reviewing form C-Corp laws and regulations will give you a solid start in determining if a C-corp business structure is right for you. The corporation business structure is one of the most common entity types evaluated by entrepreneurs looking to start a business or modify their business organization.

While there are two types of corporations, Form C-Corp and S-Corp, C-Corp is the standard type. Taxation and corporate ownership are the two primary differences between these two types of business structures. S-Corp structures have a special tax status with the Internal Revenue Service. Entrepreneurs should determine their business goals to determine which structure is most suitable for them. When learning more about form C-Corp laws and regulations, you should:

1. Identify the advantages and disadvantages of forming a Ccorp.

2. Obtain information about Ccorp company taxation.

3. Seek professional advice on forming a C-Corp.

Action Steps
The best contacts and resources to help you get it done

Investigate whether a Ccorp is the right business structure for you

There is a range of business entity structures that entrepreneurs can choose for their businesses including Form C-Corp, S-Corp, sole proprietorship or a limited liability company. Each structure has different formation and administrative requirements, liability guidelines, costs and tax obligations. It's important that you explore all possible options when determining which structure is best for you.

I recommend: Compare form C-corp with other business entity structures by checking out BizFilings. You may also read more about the difference between a C-Corp company and other business entity structures by visiting The Money Alert.

Find out about C-corp company tax obligations

A C-corp company is a legal business entity owned by shareholders. C-corp company shareholds don't report any business income on their individual tax returns. Instead the corporation files tax returns and pays its tax on earnings. Ccorp company income is taxed annually. Form Ccorp shareholders are taxed on business earnings when they distribute earnings as dividends.

I recommend: Learn more about forming a Ccorp company by checking out MaxFilings. You may also learn more about C-corp laws and regulations by checking out the State of California Franchise Tax Board.

Talk to an attorney about form C-corp laws

Consulting with a business attorney can help you determine whether a Form C-Corp structure is advantageous for you. They can also help to ensure that you have completed all of the necessary legal paperwork to register C-Corp business structure.

I recommend: Read more about the formation of C-Corp companies by visiting Small Business Law Firms. You may also check out the Law Offices of Michael T. Baker to obtain additional information on how to start Ccorp company.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  The form C-Corp company isn't for everyone. This type of business structure is best for entrepreneurs who want limited liability, the flexibility to increase income taxes and accumulated business assets, a more formal business structure and the ability to more easily generate capital.

To form C-Corp company status, you must adhere to various state laws governing incorporation practices. The basic structure of a C-Corp is primarily the same in all states. However, each state has different corporate laws to which your Ccorp company will be subject, as well as various benefits you may enjoy in one state versus the other. While you can file to incorporate your company on your own, it is best to seek incorporation advice from an expert.

Unlike an S-Corp, a C-Corp company has no pass-through taxation. Additional characteristics of a C-Corp include: limited liability for shareholders, ability to own, sell or transfer property, file lawsuits and conduct business transactions just as any individual. With a C-Corp company, you can also easily add shareholders and sell business interest to other investors. A C-Corp is not directly affected and can continue on despite owner deaths, interest transfers and other circumstances. Take the following steps when forming a C-Corp company:

1. Explore the benefits associated with a C-Corp company.

2. File your paperwork online to form a C-Corp company.

3. Find a form C-Corp provider to help you start C-Corp business.

Action Steps
The best contacts and resources to help you get it done

Go public with a Ccorp company

Business owners who form C Corp companies enjoy the benefits of easily issuing stock and the potential of going public. A professional firm, skilled in setting up the different types of businesses such as an S-Corp, C-Corp and LLC.

I recommend: You can get a fast quote on C Corp filings services from BizFilings. Direct Incorporation offers affordable fees and advice to help you form C-Corp company.

File required paperwork online to register C Corp company status

To register C-Corp companies, you must file a range of documents with your state and comply with all Internal Revenue Service C-Corp filing guidelines. Be sure to seek professional business services to ensure you file all appropriate documentation in a timely and legal manner

I recommend: MaxFilings helps businesses files all necessary paperwork associated with the formation of C-Corp companies. INCFile.com provides a range of packages to help individuals form C-Corp companies.

Talk to an attorney about qualifications to form C-Corp company

To be eligible for C-Corp status, there are specific criteria that business owners must meet and a broad range of paperwork that must be filed in a timely manner. Consulting with an attorney is wise because it saves you time and resources in incorporating your business.

I recommend: Novak Law Offices is a law firm that has extensive experience advising business owners on the tax implications and other advantages and disadvantages involved with S-Corp, C-Corp formations as well as other business structures. Richard S. Kempes, Esq. is an experienced corporate lawyer experienced in C-Corp and S-Corp business formations.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  You do not have to form C-Corp company status in the state in which you live. Consult with an experienced attorney, accountant or a form C-Corp provider to help you better understand state laws, benefits of filing in different states and tax implications.

When forming a C-Corp company, you are creating a separate legal entity. The C-Corp has limited liability for its shareholders, the ability to buy and sell or transfer property, to file lawsuits or conduct business transactions. A C-Corp is also able to continue doing business if an owner dies or during a transfer of interests. To understand the basic concepts regarding a C-Corp, it's best to start with a few key terms. You can then build further expertise from these terms and help your company protect assets and limit business liability.

Action Steps
The best contacts and resources to help you get it done

Certificate of Good Standing

A certificate of good standing is requested from and presented by the state and authorizes the corporation to do business. The certificate says the corporation officially exists, can conduct business and has up-to-date taxes, fees and reports.

I recommend: PCF offers a service to request these certificates for you.

Common and authorized stock

Common stock is the basic stock that gives shareholders a participation in the corporation's management and a share of dividends. Authorized shares or stock refers to the total number of common stock or shares a corporation can issue as stated in the corporation's articles of incorporation. You need not issue all stock or shares.

I recommend: BizFilings has a glossary of incorporation terms that can offer more details.

Articles of Incorporation

Another name for the Articles of Incorporation is the Certificate of Incorporation or a corporate charter. These are the key legal documentation of a corporation and you file them with the state government in which the corporation wants to work. Once filed, the corporation officially exists.

I recommend: The 'Lectric Law Library offers blank copies of these documents if you would like to see what information is required.

Assumed or Fictitious Name (DBA)

An assumed name or a fictitious name is a name a corporation conducts business under that is not the legal corporate name exactly as it appears in the articles of incorporation. Another phrase for these names is Doing Business As (DBA) names. These names may also be required to file with the city, county or state level, so check your state's requirements.

I recommend: Business.gov gives a list of all state requirements for doing business with a fictitious name.

Board of Directors

Elected by the shareholders of the corporation, the board of directors is the governing body. The board is responsible for controlling the corporation. Part of this is selecting the right corporate officers, regulating their roles within the company, and deciding upon the bylaws or rules which the corporation is governed by.

I recommend: Free Management Library offers a free toolkit for boards of director information.

Registered Agent/Registered Office

The registered office and registered agent appear in the articles of incorporation or corporate charter. The office is where the agent is, not the location of the business. The agent is the person who will receive and process any official documents coming to the corporation. The agent must be located in the state of incorporation or organization.

I recommend: National Registered Agents is a company that acts as an official registered agent for any corporation.

Form C-Corp pricing and costs will vary based on the state in which you are starting your company and the services you require. A C-Corp company offers liability protection and typically more tax advantages when compared to other business structures such as limited liability companies.

State requirements to form C-Corp companies include conducting state name checks, filing articles of incorporation and creating company bylaws and other corporate documents. Some tasks associated with forming a C-Corp company can be handled by you, while other requirements are better left to professionals. The following tips will help you weigh your options by determining form C-Corp pricing and costs.

1. Obtain pricing information for conducting C-Corp company name availability checks.

2. Research state costs to register C-Corp companies.

3. Find out the cost of using professional services to start C-Corp companies.

Action Steps
The best contacts and resources to help you get it done

Research costs for naming your C-Corp company

Naming your corporation is one of the most important steps in forming a C-Corp company. Because your name must be unique for your specific services/industry, you are required to conduct state name searches to ensure that the company name you have selected isn't already in use by a similar service provider. If the name isn't in use by another similar business, you're free to name your company as you wish. However, all corporate companies must end in corporation, incorporated or company to comply with state laws. Some state departments will allow you to check company name availability free via their websites.

I recommend: Obtain a quote for conducting preliminary name checks from Enitia. You may also obtain information about naming your C-Corp by visiting the Illinois State Department.

Check out form C-Corp state fees

Fees for filing articles of incorporation and other corporation documents to register C-Corp companies with the state will vary. Most states charge approximately $100, but it's best to check with your Department of State to ensure you are aware of all filing fees associated with forming a C-Corp company.

I recommend: Read more about form C-Corp company filing fees at the New York Department of State. You may also find out more about state fees by visiting TraderStatus.

Seek professional advice on forming a C-Corp

Professional services firms offer a range of options to help you form C-Corp companies. You can choose to have them assist with some of the requirements or you can choose to obtain assistance with all of the requirements. Your price will increase depending upon the level of service required. For example, basic filings could cost a little over $100, while complete services could cost more than $300. If you seek assistance from a business attorney, you could pay even more for the formation of C-Corp companies.

I recommend: Find out more about pricing options for forming a C-Corp at BizFilings. You may also want to consider obtaining a quote from MyCorporation.