Forming a Massachusetts Corporation
Forming a Massachusetts corporation is done by filing Articles of Organization (NOTE: most other states refer to these documents as "Articles of Incorporation"). This filing will include the desired corporate name, the purpose of the corporation (it may be a general purpose), name and address of the Massachusetts registered agent, the names and titles of the directors, the number and par value of the shares of corporate stock, desired future effective date if needed, as well as any other provisions that may be included, etc.
Limit your Personal Liability by Forming a Corporation
When you form a corporation in Massachusetts, you form a separate entity from the owners of that company. Therefore, when a Massachusetts Corporation is named in a lawsuit, there are legal provisions and UCC Code to protect the owners, directors, shareholders, and employees from personal liability. If you operate your business without the protection of a corporation, you can find yourself personally liable for any and all debts and obligations of the business.
What you need to know in naming your Massachusetts corporation
All Corporations formed in the state of Massachusetts must have as its legal descriptor of “Corporation”, “Incorporated”, or its abbreviation. The name of the corporation cannot be the same or deceptively similar to that of another corporation or limited liability company organized or reserved under the laws of the Commonwealth. Deceptively similar names are differences in spelling but same pronunciation such as “Dogs” vs. “Dogz”. The name of the corporation may contain the name of the director. Also the name of the corporation cannot contain words or language stating or implying that the corporation is organized for a purpose other than that permitted by Massachusetts statutes or its articles of incorporation.
What is required to maintain Corporate Status?
Among other requirements, all Massachusetts corporations are required to file an Annual Report with the Massachusetts Corporations Division within two and a half months of the end of the tax year.
This document is used to update and/or verify any information that may have changed over the course of the year. NOTE: There is a $125 fee to file this document and a late fee of a minimum of $25 if it is not filed on time.
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