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Incorporation >> Incorporation in US States
Incorporation is a status craved by many organizations. Incorporation results in a twofold benefit as it provides a mechanism by which the government can track companies operating within the state. The process of incorporating as well provides income for the state. For businesses, incorporation provides the owners with limited liability protection from any liability the company incurs. Other benefits include perpetual existence, unrestricted access irrespective of your address and unlimited number of shareholders. This makes it easier for investors to raise capital for their investments. Massachusetts has the thirteenth largest population among the fifty states and hence, must create useful mechanisms that promote growth and provide employment. One of these mechanisms is the ease in which organizations can incorporate.
Massachusetts Incorporation
Incorporation is a status craved by many organizations. Incorporation results in a twofold benefit as it provides a mechanism by which the government can track companies operating within the state. The process of incorporating as well provides income for the state. For businesses, incorporation provides the owners with limited liability protection from any liability the company incurs. Other benefits include perpetual existence, unrestricted access irrespective of your address and unlimited number of shareholders. This makes it easier for investors to raise capital for their investments. Massachusetts has the thirteenth largest population among the fifty states and hence, must create useful mechanisms that promote growth and provide employment. One of these mechanisms is the ease in which organizations can incorporate.
Incorporation Process
- Choosing a Name: Companies must choose a name for the organization. This name must not have previously existed in the state's data records. The word company, corporation, incorporated or limited, must accompany this name to declare its status. Once cleared, the name is stored in the state’s name bank for future processing.
- Choosing an agent: An agent is a representative of the organization responsible for reporting to the Secretary of State. This individual attends to all queries the state may have pertaining to the company. The agent must be available within the state at all times during regular working hours.
- Filing: This process entails the completion of the appropriate forms that suit your type of organization. On these forms, you provide information such as the name and address of the company and its agent. Other information includes the number of directors and the amount of shares offered by the company. This information is then checked and a decision made on the granting of articles of incorporation.
- Fees: Filing fees starts at $295 for regular services of three weeks. Using the express service reduces the time significantly to within one to five working days, but at a higher rate. Filing fees are also affected by the amount of shares distributed by the organization.
