Free Corporations FAQs | Free Corporations Legal FAQs

What is an S Corporation?

Tue, 24 Mar 2009 11:39:01 GMT

There are several different types of corporations from which business owners can choose when they initially set up their business. One type of corporation is an S corporation. The “S” in “S Corporation” refers to Chapter 1, Subchapter S of the United States Internal Revenue Code. Owners who choose to incorporate an S Corporation are choosing not to have the Corporation pay income taxes but rather to have each shareholder pay personal income tax

What is a C Corporation?

Tue, 24 Mar 2009 11:41:22 GMT

A C corporation is the most common type of corporation. The “C” refers to the subchapter of the Internal Revenue Code which explains the rules of taxation for this type of business structure. C corporations may have any number of investors and it can, therefore, be easier to raise the capital necessary to operate the business. Since the number of investors is not limited, C corporations can offer stock incentives to their employees. Corporate owners usually do not have

What steps are required to form a corporation?

Tue, 01 Mar 2011 18:22:39 GMT

A corporation is a legal entity with a corporate charter from a state. To form a corporation, the following simple steps are required:

1. Select a name for your business. State laws restrict certain words or phrases that can be used in your business name - so make sure you check your state’s rules, which are typically available on the Secretary of State website.

2. Pr