Steps to start an LLC or corporation

[babyrazia113]

Both a Limited Liability Company (LLC) and Corporation (CORP or C-Corp) have their advantages and disadvantages. If you’re not sure which one is best for you, first read: Differences Between an LLC & CORP for Small Businesses.

You’ll also want to consider: Which State Should You Incorporate In?

Now let’s dive into the practical steps you’ll need to take for each option.

Forming an LLC
Setting up a Limited Liability Company involves less formal responsibilities that corporations, but there are still a number of formalities to go through:

1. Register Business Name
Each state has their own specific business registration rules. For whatsapp data example, in California, you can’t use the words ‘Bank, Trust, Trustee, or Olympic’, while in Hawaii there are 18 words you can’t use, and in Kentucky only ‘Cooperative’ is a no-go.
But the main things that most states don’t allow are names which are:

Similar to another business name on record in that state.
Misleading to the public, such as ‘Bob’s Electronics’ when you sell tires.
Seen as part of the government, like the words ‘city, borough, or federal’.