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California requires foreign corporations (those corporations incorporated in states other than California) to register with the California Secretary of State’s office before transacting “intrastate business.” The California Corporations Code provides that “transacting intrastate business” is when an entity enters into “repeated and successive transactions of its business in this state, other than interstate or foreign [...]

According to the IRS, an EIN (Employer Identification Number) is used to identify a business entity. Most businesses are required to obtain an EIN. This is similar to a social security number, but is for your business entity rather than a person. Now, the IRS allows you to obtain your EIN for your entity via [...]

 A “501(c)(3)” is a nonprofit corporation that advances charitable, educational, religious and/or scientific purposes. The purpose of the organization must be one that benefits the public and at least 1/3 of its funding must be from the general public (rather than an individual source).  To form a 501(c)(3), you must first incorporate your organization with [...]

A Corporate Officer runs the day-to-day operations of the corporation and includes the President, Treasurer, Secretary and Vice President of your corporation. Most states require a President, Treasurer and Secretary and many allow you to create additional positions known as secondary officers (Vice President). Most states allow one person to hold all officer positions in [...]

The difference between officers and directors of a corporation is often one with which many people get confused.  However, the differentiation is very simple.    Directors are the managers of the corporation and responsible for developing policies, making resolutions, solving problems that affect the business, and providing general supervision to the officers and employees. The [...]

Most basically, corporate minutes are the account of what occurs at the corporate meetings. Many corporations fail to keep their corporate minutes up-to-date. However, it is important to do so because the minutes provide information which allows the officers and directors to look back on the decisions and transactions of the corporation. Keeping the minutes [...]

Bylaws are the rules, responsibilities, rights and obligations of the directors, officers and shareholders of a corporation. Both nonprofit and for profit corporations generally draft bylaws in that they serve as the document by which all involved will operate the business.  The bylaws include information about how the directors will be elected, how the meetings [...]

In order to determine whether you should incorporate your business as an S-corporation, the IRS requires that your business meet the following requirements: Your corporation must be a domestic corporation; Have no more than 100 shareholders (who must be either individuals, specific trusts, or estates (shareholders cannot be partnerships, corporations or non-resident aliens)); Have only [...]

If you are in the process of incorporating your business, you may be asking yourself what the difference is between an S-corporation and a C-corporation. In general, the difference is in the way the entities are taxed. Further, an S-Corporation may be the better option if you are at the initial phases of starting a [...]

After incorporating your business with the Secretary of State, it is important to remain compliant with the rules of operating a business in that particular state. In California, as in most states, the Secretary of State requires that a Statement of Information be filed with the state. In California, for profit corporations are required to [...]