How to Incorporate Online Business

Online business incorporation is an easy process, almost as easy as you type a word or a phrase in a search engine to know about it! And it is not just that the process is easy, it has many advantages, most important being that you do not need to hire the services of a lawyer. This will save you a lot of money, which you can invest in your business. After all, for a new business, any amount of capital is beneficial.

Tips for Incorporating a Business Online

Step 1
The first thing to do is to go to your state's website. In United States, it is mostly the secretary of state office who is responsible for registering new businesses. So, log on to the secretary of state website of the state that you want to set up your business in.

Step 2
In the state's website, there will be a separate section for business, so you click on it. Most of the websites have a section by the name of "economic development", which contains information on how to start a business in that particular state. So, you can go to this section, if you are completely new in the field and have not researched much on the kind of business organization you want i.e. whether you want a "C corporation" or "S corporation" or a non-profit organization or an LLC (Limited Liability Company).

Step 3
The next step is to check whether the corporate name that you have chosen for your business is available or some other registered business is already using it. The secretary of state website offers you this facility to check your corporate name free of cost. All you need to do is to fill the name registration form and submit it online. To be really sure, you can put your business name, followed by your state name and look for it in a search engine, before filling out the name registration form.

Step 4
Now that the name you have chosen is available, you can start filling up the "Articles of Incorporation" listed on the website. You will need to provide information pertaining to three positions in your business, namely the president, secretary/treasury and the registered agent. The other important information that needs to be filled is the number of shares you initially plan to offer as well as their par value. Normally, most business stick with the rule of thousand shares offered at the par value of one dollar. You can either go with the same rule or decide according to your business needs. So, you need to be already prepared with such information. Also, make sure that whatever information you are providing is accurate as any changes made thereafter will cost you some additional money.

Step 5
In the end, you need to provide your credit card details and pay some registration fees so that the articles of incorporation are registered with the Secretary of State office. After this, the process will begin. Within a few weeks, the state department will send you a confirmation that your articles of incorporation have been registered, accompanied by an "Employer Identification Number". With these documents in place, the next step in starting a business is to open your business checking account.

If you do it yourself, the process is simple and will cost you very less. However, in case you feel that you need someone else to do it for you and you do not mind paying up, there are many companies which you will find online, offering you their services. By registering with them and paying some fees, you can avail their services.