A Guide to California Corporations

In order to form a corporation in California, the first step is to reserve a corporate name. The articles of incorporation are drafted and submitted to the California Secretary of State, Corporate Division. After the articles of incorporation have been submitted, the first meeting of directors and stock issuance will be held. The basic formation of a California corporation is thus complete. The following points constitute a guide to California corporations.

There are 3 basic ways to submit a form for incorporating in California. They are filing the paper work yourself, hiring an attorney to do it, or using an incorporation service for the purpose. Unfortunately, most people are not aware of state processes, so their paperwork may be rejected or may take months to complete. So it is always better to approach an attorney or use an incorporation service.

The types of corporations that can be formed in California are non-profit corporations, profit corporations and foreign corporations. A profit corporation will be a legal entity that exists separately from its owners. It normally limits the owners from personal liability. The taxes of the company are levied on the corporation as well as on the shareholders. Articles of incorporation drafted for a profit corporation include all required provisions such as a statement of the name and the California address of the service provider. It may also include the names and addresses of the initial directors.

California nonprofit corporations comprise religious, charitable, social, educational, social and recreational organizations. They come under the non profit corporation law. The article of incorporation must be signed by an incorporator or by the directors of the organization. The original and at least two copies of the incorporation, together with the applicable fee, must be mailed to the Office of the Secretary of State.

A foreign corporation in California is incorporated by any jurisdiction other than California to transact business. To qualify for intrastate transaction business in California, a statement should be submitted to the State Secretary of California. Designation by the foreign corporation must be included with the statement. Care should be taken because low quality microfilm submitted documents will be returned unfilled.

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California Corporations provides detailed information on California Corporations, California Department Of Corporations, California Corporation Commissions, California Corporation Searches and more. California Corporations is affiliated with Delaware Division Of Corporations.

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