®

Incorporating what's right for you.

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How to Incorporate or Form an LLC in 10 Easy Steps

Let us help you put the pieces together.
Dear Business Owner:
Congratulations! By requesting this guide from The Company Corporation®, you’ve taken
your first step toward protecting your personal assets and building business credibility.

When we refer to “incorporating,” we mean the act of creating a new corporation under
the laws of a particular state. Some people also use the term “incorporating” to refer to
the formation of a Limited Liability Company (LLC).

This guide will help you understand the benefits of incorporating, the differences between
corporations and LLCs, and the process for forming your own business.

We promise to make that process as smooth as possible. We’ve helped hundreds of

thousands of business owners just like you incorporate or form an LLC.

You can start with the New LLC and Corporation Order Form located in the back of this
guide. Fill it out as you read through each step. Simply fax it to us when complete, or
contact us for help. You can also request your business formation online at
www.incorporate.com or speak with a Business Specialist over the phone for more
personalized service.

Let’s get started.

Sincerely,

Brett Davis
GENERAL MANAGER

P.S. If you have any questions or want to speed up the process, call one of our Business
Specialists at 800-209-0128 or visit www.incorporate.com.

The Company Corporation is a service company. It does not provide legal advice, and its services are not a substitute for
advice from a licensed attorney.
Protect personal assets.
Realize tax advantages.
Give your business more credibility.
These are just some of the benefits you’ll get after you incorporate or form an LLC
with The Company Corporation®.

To decide if this is the right move for you, answer these questions:
Yes No
1. Do you want to protect your personal assets (your home, car, savings, etc.)
from lawsuits against your business??

2. Does or will your business:

a. Sell goods or services to the public and/or other businesses?

b. Bring customers into your office or store?

c. Have employees?

d. Take on debt?

3. Are you entering into a business with family members or friends?

4. Do you, or will you, have investors or partners?

5. Would you like the option to raise capital through the sale of stock?

If you answered “Yes” to any of these questions, you’re ready to complete the enclosed
New LLC/Corporation Order Form.
 Your name is your first connection to your customers.
It’s also the first step toward making your dream a reality.

Step 1: Choose a Business Name

Have your Order Form? Have a pen? Have a company name? If so, great. Write your business name on
the form. Since the name you want might not be available, please provide an alternate.

How to select a name.

Many businesses select a name that identifies the type of service and products offered or highlights a
unique benefit or attribute of their business. For example, a business owner who sells spicy hot dogs
might want to name the business “Red Hot Dogs” or “Firedogs.” Two more examples of developing
names for companies come from John and Jane — who represent small business owners on the path to
success.

Meet John ...

“ After a few successful investments on the side, I started my own
real estate investment company. Forming an LLC helped me keep
my family’s home and personal assets separate from my investment
properties.”

In this example, John is the owner of FunHouse Real Estate, LLC.

He chose this name because his investment properties are vacation
properties ... houses to have fun in.

Meet Jane ...

“ I had big plans when I started and needed a way to raise capital, so I
formed a corporation. Surprisingly, people took me more seriously when
they saw ‘INC.’ at the end of the name.”

Jane, as another example, was one of the first computer experts to

set up her own mobile PC repair business. Started in 1992, she now
has a crew of six “techs” and two administrative staff. She chose the
business name, “IT@home, Inc.,” because her staff has the ability to visit
customers’ houses and diagnose and repair their computers on-site.
 Owning a business is more than a state of mind...
That’s why you have to decide which state to register in.

Step 2: Select the State Where You Want to Incorporate or

Form Your LLC

Lots of businesses start small, but end up big. Many also start in one state, but don’t always stay there.
So let’s figure out which state might be best for you.

Conducting business in your home state?

Most business owners choose to incorporate or form an LLC in the state in which they plan to conduct
business. Typically, filing in your home state is the least complicated, especially if you plan to operate
your business exclusively in your home state. Also, filing in your home state helps you avoid paying
franchise taxes and filing annual reports in multiple states, and, generally, it costs less to incorporate or
form an LLC locally.

Conducting business in multiple states?

Many companies conduct business throughout the U.S. and abroad. A business that has locations
in multiple states may form a corporation or LLC in a single state and then “qualify to do business”
in other states. This means companies must formally register, file annual reports, and pay annual
fees to obtain authority to conduct business in those states and benefit from the laws of the state.
The Company Corporation can assist you in qualifying your corporation or LLC and keeping track of
corporate filing requirements in any state you choose.

Are you located outside the United States?

If you are located outside the United States, please call one of our Business Specialists in the U.S. at
302-636-5430 to form an LLC or incorporate in just 10 minutes.

John ...
“ Living in Virginia near the North Carolina border, and with
properties in both states, it made the most sense for me to form my
LLC in Virginia and qualify to do business in North Carolina.”

Jane ...
“ There’s plenty of business for me in my city alone, so I just formed
my corporation in my home state. If the business grows, I’ll get The
Company Corporation to help me qualify in other states, too.”
 Just what should your company be...
A corporation or an LLC?

Step 3: Decide What Type of Company to Form, an LLC or Corporation

There is no one right answer to the question, “Should I form a corporation or an LLC?” It depends on
your needs, your business plan, and many other factors.

John ...
“I wanted to protect my personal assets, of course, but also liked
how forming an LLC limited my paperwork.”

John, like many sole proprietors, preferred to form an LLC. As an LLC, his business can “pass
through” profits and losses from the business to his personal income tax returns. The business
profits are taxed as John’s income, which enables him to avoid paying income taxes for the
business, then paying income tax again on the money he receives from the business. John also
preferred to form an LLC because it gave him more flexibility in ownership. He did not have to
issue stock and is not required to hold annual meetings.

Jane ...
“ With the number of employees I have, it’s better for my company
to be incorporated. It gives me certain advantages for tax savings on
health and retirement benefits that I wouldn’t get as a sole proprietor.”

By forming a corporation, Jane protects her personal assets. But, she also formed her entity
as a corporation in order to give her the ability to raise capital by selling stock in the company.

If you want to form an S-Corporation, Professional Corporation, or Non-Profit Corporation, please call
one of our Business Specialists at 800-209-0128 to form your corporation in just 10 minutes. Learn more
about the different entity types on our website www.incorporate.com.
 Butcher, baker, candlestick maker?
What business are you in exactly?

Step 4: Identify the Purpose of Your Company

We are often asked, “Why do I have to say what my company does?” The simplest answer is, “Because
the state says you have to.” But, more seriously, it helps states keep track of how many businesses are in
what industries and categories. This information is helpful in economic development studies. Some states
also use these classifications to issue tax identification numbers.

John ...
“I just filled in ‘Real Estate Investing.’
I figured ‘Hey, no reason to over think this,’ right?”

Jane ...
“It’s just like on a survey when they ask for your occupation.
You just give them a very general topic. I put ‘computer services’.”

Step 5: For LLCs Only

If you plan to form a corporation, please move ahead to Step 6. Otherwise, indicate who will
run your LLC and how long you plan to keep your LLC in business.
Most of our customers choose “Perpetual,” meaning they intend to keep their LLC open and operating
indefinitely. If you plan to close your LLC on a certain date, you may wish to choose the other option. If
at any time you wish to change your selection, we can help you file an amendment.

John ...
“I chose “Perpetual” in case some day my son wants to keep the
business going. I did have a friend, though, who chose a dissolution
date because he knew he was going to sell the property he bought
after only one year.”
 How long? How many? How much?
Specific questions for LLCs and corporations.

Step 6: For Corporations (Inc.) Only

If you plan to form an LLC, please skip ahead to Step 7.

If you’re forming a corporation, you’ll need to determine the number of shares you want to have and
their “par” value. Par value is the minimum amount for which a share of stock can be traded or sold,
as stated in the Articles of Incorporation that we will create for you. Par value does not represent the
share’s actual market price or future earnings potential.

You can also choose to authorize stock with “no par value.” This means the stock has no fixed price. The
directors can determine a price for the stock whenever they decide to sell it. If you still have questions
about this topic, please call a Business at 800-209-0128.

Jane...
“This is one of the things I got stuck on. But authorizing 1,500 shares
with no par value gave me the freedom to set a price for raising
capital when the time was right.”

Step 7: Identify at Least One Key Executive

At the time of filing, the state may require you to list the key executives of the company. Our customers
generally pick the individuals who are creating the new company and will be immediately involved in its
management. For LLCs, give the name of the person(s) who will run the company. For corporations, give
the name of the director(s) of the company.

John ...
“This was one of my proudest moments, when I put down on
paper that I was the owner of my own LLC ...”

If John’s business grows, and he wishes to make his son or another colleague an owner, The
Company Corporation can help him amend his operating agreement to reflect the new owner.
 Congratulations!
You’re almost done.

Jane ...
“When I started, I was the only director. Soon, I’ll be adding two
directors, and maybe even more as we continue to grow.”

As Jane’s company grows, there is added responsibility. So, she is rewarding two of her top
employees by making them directors and giving them a greater share in the business. While this
may seem like more management for Jane, it’s not a drain on her time because she regularly
turns to The Company Corporation for help.

Step 8: Write Down Your Address(es)

Provide us with your Shipping, Business, and Legal Address(es).

Step 9: Choose a Package and Enter a Price

See the reverse side of the Order Form and choose the package that is right for your needs and budget.

Step 10: Choose a Method of Payment

We accept credit cards as well as checks and money orders.

Relax — the Hard Part is Over

Now send your Order Form to us. We’ll do the rest, including preparing your filing documents, reviewing
them for accuracy, and then submitting them to the state. The state will then return your official LLC or
corporation documents to us. Upon receipt, we will perform a final review for accuracy and then imme-
diately forward them back to you. It’s that easy. It’s also reliable, accurate, fast, and affordable.

If you have any additional questions regarding your Order Form or any of our packages, please don’t
hesitate to call a Business Specialist at 800-209-0128.

Send in your Order Form today to take advantage of our $50,000 Guarantee*!

*Guarantee details, terms, and conditions are available at our website www.incorporate.com.
 Send in your Order Form today
to take advantage of our $50,000 Guarantee*!

One of the greatest benefits of working with The Company Corporation to manage your business, is
that we are the only company to provide a $50,000 Guarantee*. Follow our step-by-step guide after you
incorporate, and if your company is sued and you are held personally liable because your corporate veil
is pierced, we’ll reimburse your company up to $50,000 in legal fees.

After you send us your New LLC/Corporation Order Form, you should also think about ...
Being successful as a business owner means more than simply adding “LLC” or “Inc.” to the end of your
business name. That’s why The Company Corporation works hard every day to incorporate what’s right
for you into the services we offer. As your business and needs grow, you can turn to us for:

- Employer Identification Number (EIN)

- Obtaining a Business License
- Continuing Registered Agent Service
- DBA/Fictitious Name
- Trademark search
- Registering your business with other states
- Corporate and LLC Amendments
- Corporate kits and supplies for your existing corporation or LLC
- Certified copies of corporate and LLC documents and certificates including:
- Certificates of Good Standing
- Corporate or LLC Amendments
- Articles of Incorporation or Certificate of LLC Formation
- Annual Reports
- Apostilles for Hague Convention countries
- Cancellation or Dissolution

*Guarantee details will arrive with your order. Details also available at www.incorporate.com.
 New LLC / Corporation Order Form

1. Business Name - Your business name must include a corporate indicator. If none is provided, the indicator “LLC” will be used
for a Limited Liability Company, and “Inc.” will be used for a Corporation.

First Choice:

Alternate:

2. State - Where do you want to form your LLC or Corporation?

3. Type of Company - Choose one: □ LLC (Limited Liability Company) □ Corporation

(If you want to form an S-Corporation, Professional Corporation, or a Non-Profit Corporation, please call us at 800-209-0128.)

4. Purpose of Your Company:

5. For LLC’s only. Corporations skip to Step 6.

a) Who will run your LLC? □ One or more owners of the LLC will run the company.
□ One or more hired managers (who are not owners) will run the company.
b) How long do you plan to □ I plan to keep my LLC in business indefinitely (“Perpetual”)
keep your LLC in business? □ I plan to dissolve (shut down) my LLC on this date:

6. For Corporations only. LLC’s skip to Step 7.

a) Unless you instruct us to do otherwise, your corporation will be authorized to issue the maximum number of shares
allowable without triggering higher annual taxes in the State you select. In most states this is 1,500 shares.

□ Yes, please authorize my corporation to issue the maximum shares without causing additional taxes.
□ No, please authorize this number of shares:

b) The par value is the minimum selling price for a share of stock. Unless you instruct us to do otherwise, your shares will
have a par value of zero.

□ Yes, please give my corporation’s shares a par value of zero.

□ No, please give my corporation’s shares a par value of: (in U.S. Dollars)

7. Name and Address of Key Executives - For LLC’s, give the name of the person(s) who will run the company (owners
or hired managers). For Corporations, give the name of the director(s) of the company. In most states, LLC’s and corporations
are required to give the name of only one key executive. If you want to list more than three key executives, please provide
additional names on a separate sheet.

Name: Name: Name:

Address: Address: Address:

8a. Shipping Address 8b. Principal Place of Business 8c. Legal Address
(for items from this order) (where business will take place) (for delivery of legal notices)

Name: Name: Name:

Address: Address: Address:

Phone: Phone: Phone:

Fax: Fax: Fax:

Email: Email: Email:

 New LLC / Corporation Order Form (Page 2)

9. Choose a Package and Enter a Price - See the next page of this form for Package descriptions and prices by Company Type
and State. Choose one:
□ Complete □ Basic □ Economy
Enter the price for the Package, Company Type and State you selected: (see next page of this form)

Example: A Complete Package for an LLC in California costs $313. If you currently live outside of the United States and are
looking to incorporate or form an LLC in the United States, please call one of our Business Specialists at 302-636-5430.
Note: Sales tax will be added to all corporate kits and books shipped to CA, CT, DC, FL, IL, MA, NJ, NY, PA, TX & WA.

10. Method of Payment – Choose one:

□ Visa □ MasterCard □ Discover □ American Express □ Check or Money Order Enclosed

Card #: Expiration Date:

Name on Card: Signature:

New LLC / Corporation Packages Include:

Economy Package: Basic Package: Complete Package:

Includes Economy package contents Includes Basic package content plus:

• We prepare and file the Articles
of Formation for your new
company
• Expedited filing service
• Company Name Search and
reservation
• 6 months of Registered Agent
service
• Free subscription to our quarterly
e-newsletter
• $50,000 Corporate Veil
GuaranteeTM
• 6 months of access to “My
Account,” an online tool and
e-mail alert system to help you
manage government and legal
requirements
plus:
• 1 full year of Registered Agent
service
• Expedited Shipping via FedEx (once
documents are received back from
the state)
• Free publications- The Corporate
Minutes Book or LLC Handbook
• Corporate Kit including:
• Leatherette Zipper Binder
• Digital Media Holder
• Business Card Holder
• Customer Brass Nameplate on
Face
• Custom Mark Maker® Embosser
• 10 Custom Stock Certificates
• Custom Cover Sheets
• Set of 12 Tab Dividers
• Mylar-Reinforced Ledger Set
• TCC priority Handling
• Obtain Federal Employee ID
Number (EIN)
• Application for S-Corp Election
Form 2553 (optional)
• 3-Book Legal & Tax Reference
Library published by Nolo:
• Legal Forms for Starting &
Running a Small Business (w/ 60+
forms & CD-ROM)
• Tax Savvy for Small Business
(includes 18 forms)
• Legal Guide for Starting &
Running a Small Business

• 1 full year of access to our

exclusive “My Account” service
 New LLC / Corporation Order Form (Page 3)

Corporation Package Prices (including state fees.)

Corporation LLC Corporation LLC

Complete Basic Economy Complete Basic Economy Complete Basic Economy Complete Basic Economy
Alabama $564 $444 $264 $554 $434 $254 Montana $519 $399 $219 $519 $399 $219
Alaska $679 $559 $379 $679 $559 $379 Nebraska $529 $409 $229 $589 $469 $289
Arizona $674 $554 $374 $664 $544 $364 Nevada $631 $511 $311 $631 $511 $331
Arkansas $479 $359 $179 $479 $359 $179 New Hampshire $564 $444 $264 $564 $444 $264
California $514 $394 $214 $484 $364 $184 New Jersey $539 $419 $239 $549 $429 $249
Colorado $449 $329 $149 $449 $329 $149 New Mexico $529 $409 $229 $479 $359 $179
Connecticut $704 $584 $404 $564 $444 $264 New York $594 $474 $294 $659 $539 $359
Delaware $288 $268 $168 $319 $299 $199 North Carolina $654 $534 $354 $654 $534 $354
D.C. $584 $464 $284 $549 $429 $249 North Dakota $529 $409 $229 $564 $444 $264
Florida $469 $349 $169 $524 $404 $224 Ohio $654 $534 $354 $654 $534 $354
Georgia $704 $584 $404 $629 $509 $329 Oklahoma $504 $384 $204 $554 $434 $254
Hawaii $504 $384 $204 $504 $384 $204 Oregon $479 $359 $179 $479 $359 $179
Idaho $549 $429 $249 $549 $429 $249 Pennsylvania $824 $704 $524 $524 $404 $224
Illinois $710 $590 $410 $999 $879 $699 Rhode Island $659 $539 $359 $579 $459 $279
Indiana $519 $399 $219 $519 $399 $219 South Carolina $564 $444 $264 $539 $419 $239
Iowa $479 $359 $179 $479 $359 $179 South Dakota $554 $434 $254 $554 $434 $254
Kansas $519 $399 $219 $594 $474 $294 Tennessee $549 $429 $249 $749 $629 $449
Kentucky $499 $379 $199 $489 $369 $189 Texas $724 $604 $424 $724 $604 $424
Louisiana $559 $439 $259 $534 $414 $234 Utah $566 $446 $266 $556 $436 $256
Maine $624 $504 $324 $654 $534 $354 Vermont $529 $409 $229 $529 $409 $229
Maryland $611 $491 $311 $591 $471 $291 Virginia $610 $490 $310 $635 $515 $335
Massachusetts $684 $564 $384 $919 $799 $619 Washington $624 $504 $324 $624 $504 $324
Michigan $549 $429 $249 $539 $419 $239 West Virginia $544 $424 $244 $564 $444 $264
Minnesota $599 $479 $299 $589 $469 $289 Wisconsin $554 $434 $254 $624 $504 $324
Mississippi $479 $359 $179 $479 $359 $179 Wyoming $529 $409 $229 $529 $409 $229
Missouri $487 $367 $187 $534 $414 $234

Prices reflected were last updated on October 23, 2008. Current pricing may vary as individual states change their fees.
Please call or visit us online for an accurate quote.
2711 Centerville Road, Suite 400
Wilmington, DE 19808
TOLL FREE 800-209-0128

PHONE 302-636-5430

FAX 302-636-5454

WEB www.incorporate.com

Incorporating what's right for you.

SM