Getting Incorported??

7 Replies

I have a group of friends that want to pool some of our money and start buying property. We would like to get incorporated first. I have a couple of questions.

Does it matter what state you incorporate? If so, any state that is recommended?

Also, I'm looking for some sample bylaws for this type of venture. Does anyone know of any good ones?

I appreciate any help!

Thank you

Im not sure how your state works but in CA my general partnership shares a lot of the same benefits of incorporation without the hassle. See your CPA for the differences.

You should definitely talk to a CPA & Attorney to find out more info here. Good luck

First, I am not an attorney, but you should certainly go talk to one.

Also, every attorney that I have spoken with says you want to incorporate in your own state. All of that crap about Nevada LLC's, etc. is exactly that-crap.

Primo,

Thanks, I was considering a NV corp and leaned away from it for that same reason

Juan Michael, Real Estate Agent in CA (#01830409)

Originally posted by "joeh1500":
I have a group of friends that want to pool some of our money and start buying property. We would like to get incorporated first. I have a couple of questions.

Does it matter what state you incorporate? If so, any state that is recommended?

Also, I'm looking for some sample bylaws for this type of venture. Does anyone know of any good ones?

I appreciate any help!

Thank you

Your question is much too complex to answer completely here.

I aggree with John Hanson that you should form your business structure in your own state. Forget the Navada crap.

You say "incorporate" but a corporation may not be the best choice of business structure. A limited partnership, LLC, general partnership etc. might all be better options. Your choice of which is best will take into consideration exactly what and how you invest as well as the needs of the partners. Also there are both legal considerations (asset protection) and accounting considerations (taxes). So you need both a CPA and a lawyer to advise you. To confuse things they may give conflicting advise.

Just in case you were thinking of going outside your own state to incorporate, you might need to do more research...some states (the state you reside in) may require you to pay additional taxes even if your state of incorporation is in another state. so you might get double taxed...
There are pros and cons with incorporating in different states (the most common state of incorporation is Delaware) and I would see which ones apply to you and your investors before incorporating outside of the state you live in.
Jim

Look on the internet for companies that will set the entire thing up for you for less than $200.00. Yes you can do it yourself with research but let the pros do it and you know that it is right. The one I used will even provide legal advice for a year with extra money.
Good luck

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