Using Expert Assistance - Part 4 of 5 Incorporating Your Business in the USA

Now that you understand the steps involved in incorporation, you may be concerned about your ability to pursue incorporation on your own. That's very sensible. Although the process can be fairly simple, it is very important that incorporation be done absolutely correctly. In this lesson, we will discuss the types of assistance that you may choose to use during the incorporation process with particular emphasis on the use of on-line registration agents.

Your Business Advisors

If you have not already done so, you should identify a competent corporate attorney and business accountant to advise you in your business dealings. These professionals may offer incorporation services as part of their portfolio of services. There may be value in keeping all business services centralized with providers that you trust. The typical disadvantage of using an accountant or attorney for incorporation purposes is the cost of the service. You will pay professional fees for services that are primarily clerical in nature. It may be wiser to pay these professionals for advice about corporate structure and location of incorporation then utilize lower cost administrative services for the paper processing required for incorporation.

Online Incorporation Services

There are many online companies offering incorporation services and additional support services and products, including tax filing, accounting and management help. These services can be extremely valuable because:

They are expert in filing incorporations.
They are familiar with the requirements for all locations where they offer services.
They deal in high volume which typically means lower pricing than local professionals can offer.
They have the ability to expedite when necessary.
You can expect to pay all state filing fees plus an administrative fee to the processing company.

The drawback to these companies is often in the bundling of services, forcing you to pay for more services than you need. The first step in effectively working with an online provider is to determine your needs.

Determine Your Needs

Online providers often offer comprehensive services that reach well beyond the incorporation process. If you need services such as accounting, management assistance and so on, you should spend the time to create a specific list of requirements then carefully evaluate vendors. If you simply need to become incorporated in a state, you should look for a company that is experienced, charges reasonable fees and includes all of the incorporation services that you are seeking.

Begin by doing some basic research on the state where you intend to incorporate. Develop an understanding of the incorporation requirements. Make a list of services you will need. That list could include:

Name search
Preparation of Certificate of Incorporation
Preparation of Bylaws
Submission of filing fees
Placing newspaper ads
Obtaining federal and state EIN numbers
Obtaining state sales tax ID
Identifying and assisting in obtaining necessary business license, certificates or permits
Ongoing service as Registered Agent/Registered Office
Annual state filings
Expedited service
Once you have developed your list, you can search for a company that offers those services.

Additional Tips

Ask for references and contact them, interviewing them carefully about their experience.
You may find that some online companies include obtaining an EIN only in their most expensive bundled package of services, even though it is a basic requirement for doing business. Revisit Part Three to recall that you can obtain an EIN number very simply by telephone, fax or website interaction. Beware of these bundling tactics. Pay for services that are complicated or time consuming but don't be tricked into purchasing more services than you need, especially for some of the less complex matters such as EINs.
Review company warranties and guarantees. Look for a company that offers 24/7 support and guarantees their work.
Shop for price. This is a commodity service with plenty of competition. It may be smart to suspect the quality of the cheapest provider, but high price is no measure of quality in this market.
Try a few online review services to see if any of your candidate companies have been reviewed by consumers or experts.
Using an online incorporation service is generally well worth the money.

Part Five, the final installment in this ecourse series, addresses the special issues associated with Non-US residents incorporating in the United States.