A company is a business entity whose aim is to generate sales, revenue and profit. Companies have been around for hundreds of years and contribute to the economic development of most countries.
Registering a company is the process of forming a legal structure for your business. It involves a combination of steps, and can be complex depending on your specific needs. It is important to get it right because a mistake could have serious consequences for your business, including loss of assets, lawsuits or even the inability to open bank accounts.
Once a company has been registered, it becomes an artificial person with legal personality separate from its members. It can contract, sue and be sued in its own name. It also has a common seal which can be used as proof of its authenticity.
In addition to registering the company at a state level, it is often necessary to register with local and federal agencies. For example, if you are a corporation, it is likely that you will need an Employer Identification Number (EIN) from the IRS. It is also possible that you will need to file for a tax registration with your local or state government, and you may have to get employee or vendor licenses.
Once you have a finalized plan for your company, it is time to start the registration process. You should begin by checking if your desired name is available. New York, for instance, only allows certain words in the names of registered entities such as “corporation,” “trust” and “limited liability company.” If your preferred name isn’t available, you can reserve it by filing a Certificate of Reservation. register a company