Advantages of a CorporationAre you thinking about starting a corporation in California? Here are some advantages of a corporation.

First of all, What is a corporation?

A Corporation is a business entity that is legally separate from it’s owners. Thus, a corporation is seen as a legal “person” that can pay taxes, enter into contracts, and incur debts separate from its owners. You may be wondering, why should I start a corporation? Well, corporations have all sorts of advantages.

7 Advantages of a Corporation:

1. Starting a Corporation is easy with the help of Diversified Business Solutions! We will guide you through each step of incorporation relieving you from any stress it can cause. We will hand deliver your documents to the California Secretary of State. After they are processes, we will scan and email you copies, and send you the originals through mail.

2. One of the most popular perks of corporations is that they are separate entities from their owners. This means that business owners will only have a limited liability for activities relating to the business. This includes any debts.

3. Having Diversified Business Solutions as your Agent for Service will allow us to accept any legal documents on your company’s behalf. For instance, if you ever enter into a lawsuit. DBS will legally be the point of contact to accept any legal information or documents. After all, who would want a stranger to show up to serve you documents while you are meeting with a client.

4. Corporations have a stable and well defined power structure. This can range from the directors to the shareholders. Each group possesses its own set of well defined duties and responsibilities.

5. Another one of the advantages of a corporation is many corporate businesses have effective means of motivating staff with the opportunity of stock benefits and options. This can act as a powerful motivator.

6. The simple fact is that adding the extensions Inc or Corp to a business name attracts a considerable amount of credibility. For this reason, corporate businesses attract customers and investors much easier than the typical company.

7. Lastly, because a corporation is a separate entity from those who manage it, the corporation is not affected by the departure of an owner. Whether the owner dies, retires, leaves the company, or sells the business, it will remain in operation.

As you can see, there are many advantages of a corporation! If you are interested in learning more about starting a corporation, or you want Diversified Business Solutions to help you though the process, please contact us at (916) 480-1225. Would you like to see more posts regarding Secretary of State filings? Like us on facebook, https://www.facebook.com/SecretaryOfStateFiling?ref=hl. And remember, we’re never too busy to help with corporate applications!