How to form a Florida Corporation
To form a corporation in Florida you must follow the exact laws as defined by the Division of Corporations of Florida. For each of our formations, we ensure that we adhere to what is required by the state and that your articles will be approved by the state. Starting a corporation is easy with our service because we take care of the filing requirements and get the filing approved fast.
The first item that must be determined is the name of the incorporation. When you incorporate in Florida, you must make sure that the name you choose is available. Once you know that a name is available, the next step is to prepare the articles of organization. The articles must be in the exact format at the state, otherwise the filing will be rejected. After the articles are completed, the incorporation paperwork is submitted to the state for approval. If all of the steps are followed the filing will be approved by the Secretary of State, Division of Corporations.
Control Personal Liability and Form a Corporation
Incorporating in Florida can provide the shareholders with some great benefits such as; limited liability protection, separation of assets, the most diverse business structure, and it can lead to lower taxes. If you have checked with a local CPA in your area, and you are ready to form a corporation, then this service will be perfect for you. Once we register your corporation, you will be afforded limited liability. This means that as you enter into transactions for your business, you will not be held responsible for the debts of your organization. There are many cases where the corporate veil has been pierced by the courts, and the shareholders were held responsible for the debt of the business. So if you need more detailed information regarding limited liability, please consult with an attorney within your state.
Advantages of forming a corporation in Florida:
- A Florida corporation will have an unlimited life.
- Incorporations have limited liability protection for shareholders.
- Shares are transferable.
- Check with a CPA in Florida, because you may be able to reduce taxes.
Choose a name for your corporation
All corporations formed in Florida must provide some sort of notice to the public by including an identification of their business status at the end of their names. These include “incorporation”, “corporation”, “company” or its abbreviation. There are several word restrictions and phrases that are prohibited unless prior approval is obtained. These words and phrases are as follows: Professional Engineer, Land Surveyor, "insurance" or "bank" (and derivatives thereof), the name of a political party, using Disney and Olympic in the company name is also prohibited.
How to Choose a Name
The state of Florida encourages you to be as creative as you like however, one thing to keep in mind is that a corporations name can’t be too deceptively similar to another corporations name or trademark. Lastly, names that sound the same but are spelled differently are not considered distinguishable. Also using a spelling variant, using location identifier such as adding "of Florida" or using a different suffix resolve a name conflict. As an example “Makes Sense Co” is not distinguishable from “Makes Cents Inc.”
Do you need an S corporation?
An S corporation is formed in Florida by filing IRS form 2553 with the IRS. An S corporation is a special type of entity defined by the IRS to provide pass-thru taxations to the shareholders. Pass-thru taxation is a concept where the income earned by the business flows through the business to the personal tax returns of the shareholders. A s corporation is similar to an LLC that also has pass through taxation.
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