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The most common form of corporation is the C-Corporation which allows the company to have an unlimited number of shareholders. This type of corporation is considered a legal entity separate from the owners and can act and do business as any individual person would.
As a result, the life of a corporation is independent of the life of the owners, ownership is easily transferable, and capital may be raised through the sale of stock. However, because the C-Corp is considered a separate entity from the owners, it is taxed twice: once as income of the corporation, and once as income of the shareholder.
When forming a C-Corporation, you must file articles of incorporation in the state where you wish to incorporate and hold an initial shareholder meeting in which bylaws are adopted and the incorporation process is completed. Many companies offer online incorporation services that can help you incorporate quickly and accurately.
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