In our world, it’s common to have to deal with various facets of businesses, commerce, corporations, transactions, and everything else involved with money and finances. Corporate formation is a very normal and common part of our economic world. If you’ve never been involved with corporate formation, it can seem daunting at first. With the help of a corporate formation attorney, the process can go very smoothly. If you are creating a corporation, read on to learn more about corporate formation and how a corporate attorney can help you.
What Is Incorporation?
Incorporation is the legal process of clearly defining a corporate entity that is separated from the owners of the entity. If you’re looking to incorporate a company, an incorporation attorney is the legal expert you want to seek out to make it official.
What Is Considered a Corporation?
A corporation is defined as a group or company of people that have been authorized to act as an individual entity. In legal terms, a corporation can be considered a person and is recognized as such within law. This entity is completely separate and distinct from the owners of the corporation.
What Are the Benefits of Corporate Formation?
There are many benefits of forming a corporation. As a corporation is legally considered a legal “individual” with many of the same benefits that a person has under the law. A few examples are as follows:
- The corporation can raise money (capital) through the process of selling company stock.
- The corporation can gain reduced tax restrictions on certain company loss.
- It can have a lower tax rate than an individual’s personal income.
- It has the ability to easily transfer ownership to another party.
- The corporation owner’s assets are protected from any liabilities that the corporation may incur.
- And many more!
At H&M Lawyers we can help you determine if corporate formation is right for you. If you have a company or group of people and want to form a legal corporation, there are many benefits to doing so. The biggest benefit is the clear segregation between ownership of the corporation and a corporation’s actions which can result in law suits. At H&M Lawyers, we can be the corporate lawyer and attorney that will guide you through the entire legal process of forming a corporation.
Hamilton & McInnis, LLP – Serving all of Southern California.