DUI Lawyers & DUI Attorneys - Driving Under the Influence of alcohol - DWI
TOLL FREE HELP LINES: Bankruptcy (866) 233-3092, Divorce (866) 233-3093, Injury (866) 233-3098, DUI (866) 233-3099, Criminal Defense (866) 233-3094
  FAQ: Bankruptcy Lawyer | Divorce Lawyer | Injury Lawyer | DUI Attorney | Criminal Defense Attorney

What is the Best Location to Incorporate

Legal Article Guide
By: Gerard Simington

Okay, you have made the decision to go ahead and incorporate to protect yourself. The next question is where is the best place to do so?

One of the most misunderstood elements of business law is jurisdiction. Jurisdiction simply refers to the issue of what laws control particular situation. Actually, a better way to put it is whose laws control? In many business law niches, state laws are the guiding light, not federal law. The formation of business entities is one such place.

So, what location should you pick? In most situations, it is the state you will be conducting the business in. Remember, state law is controlling here. Nearly all states view businesses being run within their borders as falling under their jurisdiction. This means you are required to comply with the laws of the state. You are also required to pay taxes and fees the state requires for the running of your business.

Ah, but what about Nevada? For those new to the process, Nevada is touted as a great place to form your business entity. The state has very minor taxes, so many trump it as the best state to incorporate. There is, however, one problem. If you incorporate in Nevada, but run your business out of an office in your state, you are almost always violating the laws of your state. When tax agencies and regulatory groups look at business entities, the state of incorporation is not the issue. Instead, the issue is where is the business actually being conducted. If you incorporate your business in Nevada, but run it out of Los Angeles, you could be in big trouble. California will eventually figure it out. When they do, you will be penalized and assessed back taxes. It is an ugly situation.

There is one way around this situation. It involves a double incorporation strategy. Essentially, you incorporate one business in Nevada and one in your state. The Nevada entity runs the basic business. The entity in your state then manages the Nevada entity for a fee. This may sound great at first glance, but it is an expensive option. Make sure you talk with an attorney before going down this road.

If you are incorporating on your own, you should probably stick with the state you will be running the business out of. If you have other ideas, make sure to sit down with a lawyer or accountant to discuss your plan.

Gerard Simington is with www.findanattorneyforme.com - an online attorney directory.


Bookmark & Share Articles:


Leave a comment to What is the Best Location to Incorporate

  • Name (required)
  • Mail (required but not published)
  • Comment / Rate this hotel
    Terrible
    Fair
    Okay
    Good
    Excellent
  • Please enter:  


No Responses to What is the Best Location to Incorporate

Average Rating: (From 0 Votes)


Request a Case Evaluation with a Local Attorney

Regardless of your legal situation, a local attorney can help explain the legal process involved and answer any questions you have along the way. Fill out the form below for your case evaluation with a local attorney.

Latest Legal Articles:

  • Identity Theft (R&R)?
  • Last Will And Testament Kits
  • Are Sobriety Checkpoints Legal?
  • Personal Injury - How To Find A Way Out
  • What is a Reverse Email Search?
  • Oregon Lawyer and State Representative on Crystal Meth
  • Your Personal Injury Lawyer - Here's 7 Tips to Help You Hire a Good Attorney
  • Law Lemon Lawyer
  • Marriage and U.S. Citizenship
  • It's Not Me! Preventing and Dealing With Identity Theft
  • Why Video Evidence is Rejected by the Courts
  • History of Mesothelioma Litigation
  • Justice in America - Looking out for the Lost
  • Choosing A Process Server
  • Road Traffic Accidents
  • Hiring a Real Estate Attorney
  • How To Stop Identity Theft
  • Identity Theft: Stop It Now!
  • Atlanta Asbestos Lawyers
  • Asset Protection And Fraudulent Transfer
  • Identity Theft - Understanding and Preventing the Fastest Growing Crime
  • DUI Arrest Urgent First Steps
  • Thinking Outside the Contract: Engaging with China on Cultural and Legal Fronts
  • Making a Claim for Medical Negligence Compensation in the UK
  • Should I Transfer My Home to My Child
  • Practical vs. Legal - Getting Model and Property Releases
  • Lemon Laws in Your State - What You Need to Know
  • Stop Collection Agency Harassment
  • Land Grab Law LRAU in Spain
  • Post Divorce: A New Beginning
  • Finding the Number One Social Security Disability Lawyer in Virginia
  • Funny Math in Ohio Workers' Comp Proposal
  • Celebrex Class Action Suits - Regaining Power For The People
  • Five Critical Tips to Keep in Mind When Completing Disability Forms
  • Corporate Records - Shareholder Inspections
  • What We Talk About When We Talk About Mediation
  • Virginia Accident Lawyers
  • What is Mesothelioma and How is it Caused
  • Legal Will Forms
  • Identify Theft: Security for a Digital World
  • Choosing the Right Attorney
  • Accident Compensation Claim On Automate!
  • Business Records & Identity Theft
  • Recovering From a Whiplash-related Injury
  • Bail Bonds - How Are They Determined
  • What Answers Can A Notary Signing Agent Provide?
  • Finding the Right Attorney
  • Should I Appeal My Social Security Disability Denial?
  • Louisiana Mesothelioma Lawyers
  • Litigation Financing Expenses
  • Arizona Bankruptcy Lawyer
  • The Non-Profit ByLaw Legal Form
  • The Legalization of Marijuana - Part 2 of 2
  • Attorneys And What They're Good For - Part II
  • Public Records FAQ
  • If You Have Been In An Accident, Do You Need A Lawyer?
  • Identity Theft Scams
  • Identity Theft - A Growing Problem That Could Leave You Devastated
  • Getting the Best Virginia Workers' Compensation Settlement
  • Know Your Rights Under the Lemon Law
  • Gross Violation of Civil Rights Committed Against Falsely Convicted Englishman
  • Using a Home DNA Test Kit
  • Child Support in the Arizona Family Court: How Do Social Security Benefits Affect Calculations?
  • Chicago Personal Injury Law
  • Only Your Wisconsin Child Custody Lawyer Knows Best
  • Louisiana Child Custody Lawyers
  • Chapter 13 Bankruptcy Lawyers
  • Lemon Law Attorneys
  • What Are Death Records?
  • The Notary Dilemma: Should I Use a Mobile Notary?
  • Professional Negligence - Compensation for Mistakes Made by Professionals
  • New Jersey DUI Fines
  • Is Immigration Reform Inevitable?
  • Estate Planning - Estate Taxes
  • How to Get Forensic Trial Animation Admitted
  • 40 Million People Hacked - YOU as Identity Theft Victim
  • Invention Help... Don't Get Scammed!
  • A Quick Guide to Lawyers
  • Sample Offer In Compromise Forms
  • Sarbanes Oxley Compliance - Will Tighter Controls Work?
  • International Law
  • Florida Business Lawyers
  • How to Cut Legal Costs for Your Business
  • Citizens Lack Personal Responsibility Thanks to Lawyers
  • Arm Yourself with Information – Conduct a Comprehensive Background Check
  • Las Vegas Lawyers
  • Birth Injury Attorneys
  • Personal Injury Compensation - The Edge
  • Cutting-Edge Identity Theft Software
  • Durable Power of Attorney - "Scope of the Agency"
  • Criminal Defense Lawyers California - Guide To Find The Right Attorney
  • FBI and FCC Seek Control of Software Industry
  • Road Traffic Accidents - Are You Prepared?
  • No Win No Fee Solicitors
  • How To Avoid Becoming A Victim of Identity Theft
  • Vaporizing Emails and the Security Industry Regulatory Bodies
  • Domestic Violence - A Threat to Civilization
  • Sole-Proprietors, Protect Yourself from Identity Theft by Obtaining an EIN
  • Hi-Profile Identity Theft Scams
  • We are Naked to the World

  • Latest Legal Guide

    TOLL FREE HELP LINES:

    - Bankruptcy (866) 233-3092
    - Divorce (866) 233-3093
    - Injury (866) 233-3098
    - DUI (866) 233-3099
    - Criminal Defense
      (866) 233-3094