Free Consultation|USA Only +1 (866)754 4460|Outside USA +1 (516)822 3100
InfoTaxSquare.com - Website Logo
  You are here : Home  >   Services  >   Corporation  
TESTIMONIALS
InfoTaxSquare.com - Testimonials  


Where To Incorporate?

 
3.5/5 stars (2 votes)
Category : > Corporation
Posted On : Tue Sep 01st,2009

 
Where to incorporate my business?
 

Which is the best state to register a business?

First considerations after a new business decides to incorporate is where to incorporate. For most businesses, incorporate in the state where the corporation will do most of its business. This rule holds especially true for smaller businesses that will likely not expand significantly, or that do not want to conducting business outside of their home state. So, incorporating in your business's home state is usually the safest to start your new business. Then if, after your corporation has been up and running for some time, it appears that you may need to conduct business in another state, you can always register in another state as a foreign corporation also known as "Foreign Entity"

Each state has its own legal requirements and registration procedures for new businesses wishing to incorporate. Certain states are well known as favorable homes for corporations or forming an LLC, due to their unique incorporation laws and favorable tax policies.

Most popular states to incorporate your business are:

Note: You cannot register your business other than your home state to avoid paying taxes.

  


Committed to give our users most updated news!
For instant news please subscribe at www.infotaxsquare.com


Leave Your Comments
Your name :
Email Address : Will not be published
Please enter your email if you want us to send answer to your email. We have a strict policy of not to share your email address with any other party.
Your message :
Insert these letters into the textfield below: (required, case-sensitive): HeQPX
Do you want to Subscribe for
InfoTaxSquare Business News Bulletin?
Yes
No
Comments (6)
Rafael Delgado   wrote on : Mon Feb 22nd,2010
Hi, I'm trying to start a business my question is Can I start a business in my home state and work and another state? Where can i research that. THANK YOU.     View Detail
Reply : infotaxsquare.com
 
Dear Rafael Delgado: Thanks for choosing InfoTaxSquare.com for your business needs. Please use the following link for your answer.

http://www.infotaxsquare.com/view_article.php?id=225


InfoTaxSquare.com
Business Documents
Filing!


ivory Dandi   wrote on : Wed May 05th,2010
Can an online Retailer Incorporate anywhere?     View Detail
Reply : infotaxsquare.com
 

Answer is NO; incorporate structure should be based on shipping. For example if you have go-down and shipping goods to your customers from the State of Alaska then you must incorporate in the state of Alaska.

Why people incorporate other than there Home State?

It may be a right approach in some cases but not all. Like in certain states personal information are not available for general public. It gives you identity protection and secondly is flexible for non

USA residents who are operating businesses from their vicinity. So, we suggest you to consider all phases before deciding incorporating your business other than home state. It may or may not be a good idea depends on your approach.

Conclusion:

Technically it may not be productive or a right approach for small businesses to incorporate outside of their home state as even small businesses are usually required to:
 

pay corporate taxes in both the state of foreign operation and the state of incorporation.

You will pay and file annual or Franchise Tax Reports with both states

Unnecessary registered agent fees every year to maintain business in good standing

 

Complying laws for both states and you have to realize that the tax structure is being complicated every day. If you have pass-through entities like LLC (Limited Liability Company) or an S-corporation you are required to pay taxes on personal level and you will pay taxes based on your residency and it will make your yearly filing more complicated. Filing state non-resident and resident state returns. Most professionals advised to keep more controlled in your business

“incorporate where you are physically located or conducting business”.



Marry Jaleo   wrote on : Wed May 05th,2010
Is it possible for a foreign entrepreneur to invest in an existing online business in the US and become a part owner of it?     View Detail
Reply : infotaxsquare.com
 

Yes a foreign entrepreneur can become a part of USA based company either as an officer/member or just an investor. If he participates as an officer or a member of USA company then he will have to  comply all corporate laws and if he is just an investor then he will just received his dividends based on the company activities.



Load More
 


InfoTaxSquare.com - 10 Successful Years
Copyright © 2010, Infotax Square All Rights Reserved.
InfoTaxSquare.com - Allows Payment Processing With Visa, MasterCard, American Express and Discover
Terms and conditions, features, support, pricing and service options subject to change without notice.