the lawyer who forms the corporation cannot legally serve as its incorporator.

by Laurine Breitenberg 3 min read

Can the incorporator of a corporation be an attorney?

An incorporator is responsible for setting up a corporation. This role is primarily executed before the business is formed, with the incorporator taking key steps to ensure that the corporation is eventually recognized legally. The incorporator must sign the corporation's articles of incorporation before filing with the state in which the ...

What does an incorporator do?

Jul 20, 2009 · An incorporator is someone who signs the articles of incorporation which create a legally recognized corporation. Incorporators can be someone from the business or they can be someone hired to complete the incorporation, such as an attorney. Requirements regarding incorporators vary from state to state, but in general they must be 18.

Can a company have more than one incorporator?

To claim a limited offering exemption under state law in California, you must file a Section 25102 (f) Notice Filing - Limited Offering Exemption Notice (LOEN) with the California Department of Business Oversight. You can file the notice online. There is a filing fee of $25 to $300.

When must the incorporator sign the Articles of incorporation?

Start studying Business Law Ch. 27. Learn vocabulary, terms, and more with flashcards, games, and other study tools. ... As a corporation is a legal entity separate and distinct from its owners and managers, it may continues indefinitely with new owners, managers, and employees and thereby enjoy perpetual life. ... True. T or F: A corporation ...

Who should be the incorporator of a corporation?

Generally, an incorporator must be 18 years old. The incorporator may be an attorney or other person hired expressly to serve as incorporator. Or, they may be a shareholder, a member of the board of directors, or an officer such as president, treasurer, or secretary.Jan 3, 2021

What is an incorporator of a company?

Incorporator's (or Officers' or Directors') Names and Addresses. An incorporator is a person or company that is responsible for incorporating a business; an incorporator is not necessarily the same as a corporation officer or director. Most states require you to provide the name and address of one or more incorporators ...

Who can be an incorporator in Ontario?

aged 18 or olderAnyone aged 18 or older who is not an undischarged bankrupt and is of sound mind can form a corporation under the CBCA (Canada Business Corporations Act) or the OBCA (Ontario Business Corporations Act).

Can a corporation act as an incorporator in California?

California law allows the incorporators to act in this fashion because the existence of the corporation begins immediately upon the filing the initial articles of incorporation with the California Secretary of State. Someone must always be able to act for the corporation.Feb 8, 2018

What is the difference between incorporator and shareholder?

While a shareholder can become an incorporator, it isn't a guarantee. Shareholders always have power as long as their shares are not diluted. In addition, while an incorporator chooses a board of directors, shareholders vote on them. One such example is when Apple, Inc.

Is the incorporator the founder?

For this reason, the incorporator for a startup is typically the founder who is most willing to handle the paperwork. Some law firms have a paralegal or attorney serve as the incorporator.

What is an incorporator Canada?

A: One or more individuals who are 18 years of age or older, is not of unsound mind and who is not a bankrupt may form a corporation under the Canada Business Corporations Act (CBCA). Similarly, one or more companies or “bodies corporate” may incorporate a company. These persons are called incorporators.

What is the Ontario Corporations Act?

The Corporations Act (Ontario) (OCA) was historically the primary incorporation statute for non-for-profit corporations. The Ontario Not-for-Profit Corporations Act (ONCA) came into force on October 19, 2021, and replaced placed Part III of the OCA.

Can a director be an incorporator?

The director and incorporator may be the same person. The word “person” includes a juristic entity. This means that a legal entity or a trust may be an incorporator of a new company.

Can a corporation be a incorporator?

Incorporators are those stockholders who originally form a corporation, and whose signatures appear in the Articles of Incorporation.

How many incorporators does a corporation have?

Two IncorporatorsNew SEC Guidelines on the Establishment of Corporations with at least Two Incorporators. Pursuant to the enactment of Republic Act No. 11232, otherwise known as the Revised Corporation Code, the Securities and Exchange Commission (“SEC”) adopted SEC Memorandum Circular No.Nov 25, 2019

What is action of incorporator?

“Action by Incorporator” is a document executed by the Incorporator of a Corporation, which is typically executed and effective immediately following the filing of the Corporation's. Articles of Incorporation or Certificate of Incorporation with the applicable Secretary of State.

How do I know if my California business name is available?

You will need to make sure that the name you want to use for your corporation is available. You can do a name search using the on the California Se...

How much does it cost to form a corporation in California?

You can register your business name with the California Secretary of State for $10. To file your Articles of Incorporation, the California Secretar...

Do I need to create corporate bylaws in California?

Not all states require corporate bylaws but it’s a good idea for every corporation to have them. Bylaws are an internal corporate document that set...

How to register as an S Corporation?

If the corporation wants to elect S corporation status for tax purposes, it must submit Form 2553 Election by a Small Business Corporation (signed...

Does my corporation need a business license in California?

Every California business must obtain a general business license from the city where it has its office. If your corporation is in an unincorporated...

How can I register a foreign corporation in California?

To do business in California, all corporations organized outside of the state must register with the Secretary of State. Foreign corporations must...

Do I need to form a professional corporation?

In many states, professionals in certain occupations (for example, doctors, lawyers, and accountants) who want to incorporate their practice must f...

How can I dissolve my California corporation?

If you reach the point where it is time to close your business and cease all operations, then you will want to properly dissolve your corporation t...

What is an incorporator?

An incorporator is the person in charge of setting up a corporation and registering it with the state. They're responsible for filing the paperwork and signing the articles of incorporation. A business is not fully incorporated and legally registered without an incorporator. Find out more about who can fill this important role during ...

What is the process of forming a corporation?

To form a corporation, business owners must follow a defined process that includes filing legal paperwork called the articles of incorporation. This document may also sometimes be called a certificate of incorporation. It describes:

What is an organizer?

An organizer is a person who performs the same functions as an incorporator, except they perform them for a limited liability company (LLC) rather than a corporation. The organizer may:

What is an operating agreement?

An LLC doesn't have by-laws, but it does usually have an operating agreement, which is a document that spells out the rights and responsibilities of the members. The document to be signed depends on the requirements of the state.

What is the process of incorporating a business?

Even if you make the decision on which type of business is best for your interests, you still have to go through a lot of paperwork. You want to consider viable alternatives. The process, called incorporating, requires abiding by both state and federal laws. An incorporator is someone who handles the details when you choose to turn your business ...

Who are the owners of a corporation?

Typically, incorporators are the actual owners of the business. In such a situation, although they begin as incorporators with very little rights, they become the owners of the corporation once its existence begins. Therefore, they retain rights once the corporation has begun, but only because they have taken on a different role.

What happens to a corporation after incorporation?

Once the incorporation is complete, their power over the corporation ceases, and they do not receive ownership rights. Incorporator Vs. Shareholder. A shareholder is an individual who owns a percentage of your company, in a given case where the board of directors decides to issue shares.

What is a registered agent?

Registered Agent and Incorporator. A registered agent is an individual who must receive legal correspondence during the business’s regular hours. They have to constantly be available so as to make that decision. A registered agent is much like a doctor who is on call during the regular nine to five.

What is Trembly Law Firm?

The Trembly Law Firm has years of experience assisting clients in incorporating their companies. All of our attorneys know the nuances of business rules and regulations, and we help our clients with optimizing their practices so that they can focus on maximizing their business.

What are the bylaws of a corporation?

Bylaws are an internal corporate document that set out the basic ground rules for operating your corporation. They are not filed with the state. Your corporation is not legally required to have corporate bylaws, but you should adopt them because they (1) establish your corporation's operating rules, and (2) help show banks, creditors, the IRS, and others that your corporation is legitimate. For corporate bylaw forms, see Nolo's website or How to Form Your Own California Corporation, by Anthony Mancuso (Nolo).

How to do business in California?

To do business in California, all corporations organized outside of the state must register with the Secretary of State. Foreign corporations must appoint a registered agent for service of process physically located in California. To register, file the Statement and Designation by Foreign Corporation - Stock form.

When do you have to file California tax return?

Filing procedures: Regular corporations must file California Form 100, Corporation Franchise or Income Tax Return, by the 15th day of the third month after the close of their taxable year.

Who accepts service of process?

The agent may be: (1) an individual who resides in California, or (2) a corporate agent that has filed a Registered Corporate Agent for Service of Process Certificate (Form 1505) with the Secretary of State.

Can a corporation's name be the same as an existing name?

Your corporation's name must not be the same as, or too similar to, an existing name on the California Secretary of State's records, or misleading to the public. The corporation's name may—but need not—include the words "Corporation," "Incorporated," or "Limited" (or an abbreviation of one of those words).

Does a corporation have to have an agent for service of process in California?

This is an individual or corporation that agrees to accept legal papers on the corporation's behalf if it is sued. A corporation may not service as its own agent for service of process.

Do California corporations issue certificates?

Although not legally required in most states, small corporations usually issue paper stock certificates. Enter each shareholder's name and contact information in the corporation's stock transfer ledger. California corporations need not establish a par value for their stock --a set amount below which the stock cannot be sold. The board sets the value and number of the initial shares.

jdbst56 Law Topic Starter New Member

Last January I incorporated a non-profit corporation (church entity) in PA with the goal of starting a non-denominational church. As part of that process, I also obtained an EIN for the corporation from the IRS and listed myself as the responsible party.

disagreeable Well-Known Member

Generally, the law holds liable all listed Board Members of a non profit.

Michael Wechsler Administrator Staff Member

This is true - and which is why the original poster should take care to ensure that matters are conducted properly. You can't serve as a member of the board of directors and claim that you have no responsibility and that your role is merely on paper.

What is included in a certificate of incorporation?

Items typically included in the certificate of incorporation are:#N#a brief description of the purpose of the business,#N#the name and address of the agent for service of process (the person to whom the state and the courts will direct papers and summonses),#N#the capital (a.k.a. equity or ownership) structure of the corporation, and#N#indemnification of directors, officers, employees and other agents and limiting the liability of directors with respect to certain matters. 1 a brief description of the purpose of the business, 2 the name and address of the agent for service of process (the person to whom the state and the courts will direct papers and summonses), 3 the capital (a.k.a. equity or ownership) structure of the corporation, and 4 indemnification of directors, officers, employees and other agents and limiting the liability of directors with respect to certain matters.

What is a corporation bylaw?

A corporation also has bylaws which usually set forth the rules and procedures governing the management of the corporation’s business and the conduct of its corporate affairs, most of which are controlled by the law of the state of incorporation.

What is the tax rate for a C corporation?

(A corporation that does not elect S Corporation treatment is sometimes referred to as a “ C Corporation ” because it is taxed under Subchapter C of the Internal Revenue Code.) Under current federal income tax law, a corporation is taxed on its net income (gross income less allowable deductions) at rates ranging from 15% to 35%. Property (other than money) contributed to a corporation will generally be subject to federal income tax unless the person (or group of persons) contributing the property owns stock representing at least eighty percent (80%) of the voting power of the corporation and at least 80% of any class of nonvoting stock. Money (or other property) distributed as dividends by a corporation to its stockholders is subject to federal income tax again (in addition to the corporate income taxes that were imposed on the income giving rise to the distributions) when distributed to the stockholders, with the stockholders paying that tax.

Who Are Incorporators?

  • Incorporators can be either an individuals or entities. They can also have any role in the business or be hired for this temporary process. Either way, they are responsible for the incorporation process, and this is a huge responsibility, as their signature is necessary to properly file the articles of incorporation. What does the incorporation process involve? For starters, the incorpor…
See more on tremblylaw.com

Incorporator vs. Owner

  • Typically, incorporators are the actual owners of the business. In such a situation, although they begin as incorporators with very little rights, they become the owners of the corporation once its existence begins. Therefore, they retain rights once the corporation has begun, but only because they have taken on a different role. However, incorporators may sometimes be individuals hired …
See more on tremblylaw.com

Incorporator vs. Shareholder

  • A shareholder is an individual who owns a percentage of your company, in a given case where the board of directors decides to issue shares. The number of shares that they are issued determines how much power they have or how many dividends they receive. While a shareholder can become an incorporator, it isn’t a guarantee. Shareholders always have power as long as their shares are …
See more on tremblylaw.com

Registered Agent and Incorporator

  • A registered agent is an individual who must receive legal correspondence during the business’s regular hours. They have to constantly be available so as to make that decision. A registered agent is much like a doctor who is on call during the regular nine to five. While an incorporator can also serve as a registered agent, they don’t necessarily have to be. In contrast, their duties end th…
See more on tremblylaw.com