TopConsumerReviews.com
      November 20, 2017

Home  >  Company Incorporation  >  Articles

Your Information Is Secure
Online Legal Protection For Your Business Newsletter

Latest Reviews

Baby Cribs

Credit Card Consolidation

Graduation Invitations

Gutter Guards

Hair Care Products

Installment Loans

Makeup

Reverse Mortgages

Tickets

Web Hosting

 

Related Articles

What are the Main Differences between an LLC and an S-Corp?

What Is a C-Corporation?

What Is an LLC?

What Is an S-Corp?

Which Type of Company Incorporation is Right for You?

 

Top Consumer Reviews Articles

TopConsumerReviews.com provides unique articles that you won't find anywhere else on the internet. These articles are designed to help you make the most informed decisions possible.

What Is A C-Corporation?

The business owner has a range of choices when it comes to legal structure. An individual, such as a shop owner, contractor or freelancer can create what is called a sole proprietorship. If you go into business with one or more others, you may decide to create a partnership. Should you choose to incorporate, however, you can go one of two ways: You can choose to form an S-corporation or a C-corporation.

So what is a C-corp?
A C-corporation is a structure most common to larger organizations that can also suit smaller ones. C-corp status offers tax and other advantages but also imposes a lot of administrative requirements on the business owner(s). Some states require more of the C-corporation than others. Generally speaking, however, the formulation of by-laws and articles of incorporation, the election of a board of directors, and scheduling and recordkeeping relative to directors' and shareholders' meetings are requirements.

Separate Entity
One thing that distinguishes the C-corporation from the sole proprietorship is that a C-corporation exists separately from its owners. This means that if the company is sued or goes into debt, the assets of the owner(s) will not be vulnerable. Forming a C-corporation can mean the difference between worrying about exposing your personal assets to claims from creditors, or allowing yourself to sleep peacefully at night.

Taxation
To establish that separate identity, a C-corporation is given its own tax identification number by the Internal Revenue Service. On the downside, the profits of a C-corporation are taxed twice: The corporation itself is taxed when its returns are filed. Shareholders who receive dividends are also taxed when they fill out and submit their individual returns. On the upside, C-corporations can deduct the cost of any fringe benefits they provide to employees when the corporate return is filed. This can make offering fringe benefits more affordable. A healthy program of fringe benefits may enable the business to attract more qualified employees.

Stockholder Matters
In addition, a C-corporation can raise capital by selling stock, something a sole proprietorship or partnership cannot do. In some instances, this capability may make it easier to raise financial backing. The administrative structure that accompanies C-corp status can prove to be a negative. Regular shareholder meetings must be held -- once a year at least -- and minutes must be recorded. Each corporation must have its own president, secretary and treasurer. Shareholders must elect a board of directors who are required to meet regularly and vote on major decisions. In some cases, those decisions must also be approved by the shareholders. In other words, a system of checks and balances created with an eye toward accountability must be established.

For business owners accustomed to making decisions regarding the direction of the company on the fly, this structure can seem cumbersome, if not counterproductive. Owners and employees alike may bemoan such changes, looking with nostalgia upon the days when the business was "smaller and more personal."

By-Laws and Articles
A C-corporation must file articles of incorporation with the state secretary of state's office. It must also create and record a set of by-laws. Very often, these administrative requirements require the services of one or more lawyers which can prove costly.

C-corp status offers definite positives, but its administrative requirements can prove deleterious to the entrepreneurial spirit.

Almond grower: Many benefits from whole orchard soil incorporation

The loss of more than half of the biomass power generation capacity in California has left growers with few disposal alternatives for wood generated by whole orchard removals. While piling and burning pulled trees has been the standard practice ...

Published:  Wed, 15 Nov 2017 14:34:00 GMT



Freeport celebrates 125th anniversary of village incorporation

Freeport celebrated the 125th anniversary of its incorporation as a village last month, kicking off a year of history-themed events. Residents voted 214 to 132 to be incorporated as a village in what was then part of Queens County on Oct. 18, 1892, at the ...

Published:  Tue, 07 Nov 2017 08:15:00 GMT



Apple Valley visionary remembered: Dick Pearson credited with starting incorporation movement

APPLE VALLEY - Thirty-three candidates vied for the seats that would make up the first Town Council, but among the favorites was the man credited for starting the movement that led to incorporation. When votes from the Nov. 8, 1988, election were finally ...

Published:  Mon, 06 Nov 2017 23:53:00 GMT



INCYTE CORPORATION (NASDAQ:INCY) Files An 8-K Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year

INCYTE CORPORATION (NASDAQ:INCY) Files An 8-K Amendments to Articles of Incorporation or Bylaws; Change in Fiscal YearItem 5.03 Amendment to Articles of Incorporation or Bylaws; Change in Fiscal Year. On November15, 2017, the Board of Directors (the ...

Published:  Fri, 17 Nov 2017 08:09:00 GMT



Infibeam Incorporation executes agreement with Adani Wilmar

Infibeam Incorporation has executed an agreement with Adani Wilmar to develop, integrate, implement and maintain an online ecommerce and mobile platform with integrated logistics framework for on demand customer purchase of Adani Wilmar Products.

Published:  Tue, 07 Nov 2017 21:07:00 GMT



Incorporation And Domiciliation Services

Companies incorporated in Luxembourg have to register their registered office and a business address in the territory of Luxembourg. Incorporation of a company requires various steps and documents, from choosing a type, a name and an address of the company ...

Published:  Wed, 08 Nov 2017 23:14:00 GMT



BRIEF-Fujian Aonong Biological Technology Group Incorporation unit acquires stake in two firms

* Says its unit acquired 100 percent stake in a agricultural development firm for 1 million yuan * Says its unit acquired 40.2 percent stake in Jinhua-based livestock breeding firm for 11.2 million yuan and raised 60 percent stake in the livestock breeding ...

Published:  Tue, 07 Nov 2017 18:20:00 GMT



Infibeam Incorporation Ltd Q2 consolidated PAT jumps to Rs. 21.55 crore

Infibeam Incorporation Ltd. has reported financial results for the period ended September 30, 2017. The company has reported net sales of Rs.204.75 crores during the period ended September 30, 2017 as compared to Rs.119.22 crores during the period ended ...

Published:  Tue, 14 Nov 2017 03:16:00 GMT



Get Articles of Incorporation (Close Corporation) - Illinois Secretary of State

St. Paul the Apostle Religious Education Registration Family Last Name: Home Phone: Father ... Women's - St Paul the Apostle Catholic Church AN INVITATION You are invited to attend the St. Paul the Apostle Womens ACTS Retreat, August 2124, 2014 Queen ...

Published:  Sun, 19 Nov 2017 04:28:00 GMT



Share Us!    Share TopConsumerReviews.com on Twitter Share TopConsumerReviews.com on LinkedIn Share TopConsumerReviews.com on Google+ Share TopConsumerReviews.com on Pinterest

Home      About Us      Terms & Conditions      Privacy Policy      Contact Us      Disclosure