Monday, September 22, 2014

Discover If Your Clients Are Incorporated

Anyone can incorporate a business, but not every business is incorporated, nor is there any requirement that a business be incorporated. Most businesses that grow somewhat big, or which need some kind of legal protection so the company assets are protected, will be incorporated. Knowing which companies are incorporated can be useful.


Instructions


1. Start with the easy clue: Does the company have "Inc." after its name? If so, it's incorporated. While not all companies that are incorporated will use the "Inc." within the name, most will.


2. Check with the secretary of state's website in the company's home state. Most business owners will incorporate in their home state, so if the company you are interested in does business in Florida, check with the Florida secretary of state's office first.


3. Check with the secretary of state's offices in other states. It's completely legal to incorporate in other states, and there are often tax breaks associated with doing so. In Nevada, for example, there is no state income tax, and many California businesses will incorporate in Nevada. Check surrounding states.


4. Focus on Delaware and Nevada if the company is isn't incorporated in the state in which it's located. These two states are the most common states that companies incorporate in.


5. Make sure you have the name of the company right. Check with the local county recorder's office, because many companies have filed fictitious name statements. A corporation might be listed under the fictitious name rather than the name that you know it by. You can search either by the name of the company to see who registered the company in the county, or you can search by business owner to see what other names might associated with the company.