The Importance of Maintaining Your Company’s Corporate Status

If you have incorporated your small business, then you no doubt understand many of the benefits that come with maintaining corporate status. For example:

  • Your business and personal assets are kept separate
  • Various corporate structures have different tax benefits
  • Corporations can take additional expenses as deductions
  • Adds credibility to your business

However, it is important to maintain your corporate status once you have it. Otherwise, those benefits go away in a hurry.

Maintaining the Right Corporate Records

Keeping the books in order is an important element in maintaining a corporation. For example, you need to pay attention to:

  • Articles of incorporation
  • Annual reports
  • Company bylaws
  • Shareholder information
  • Meeting minutes
  • Contact info for directors and officers

This is just a short list of things that need to be kept up with for a corporation.

Complying with State and Federal Laws Regarding Corporations

The federal government and individual states have various regulations that affect S-corporations and other corporate types. Complying with these statutes is vital, so having a business attorney to help you navigate the murky waters of business law is important, especially for small business owners – most of whom do not have a background in business law, accounting, tax law, and other vital elements of running a business. These are things that get outsourced.

But you also don’t want to pay corporate lawyer prices for your small operation. That means finding a business law firm that is a small business, just like yours. A Pokala Law, we’re happy to provide legal advice to small business owners without draining all of your funds. To schedule a consultation, call 1-844-695-1487.

 

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Article Name
The Importance of Maintaining Your Company’s Corporate Status
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it is important to maintain your corporate status once you have it. Otherwise, those benefits go away in a hurry. Here are reasons why.

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