Incorporation Lawyers To Incorporate Your Business
If you run your own business, several advantages exist to incorporating your business with experienced incorporation lawyers. By taking this step you may save yourself money, taxes, liability and more. Our experienced business incorporation lawyers in Calgary help clients set up your company correctly the first time. Take these easy, low costs steps today to protect you and your hard built business today. Call 403-225-8810 to learn if incorporation is right for you and your Alberta business.
What Is Business Incorporation?
When a business incorporation lawyer establishes your corporation, she or he creates a legal entity. Specifically, incorporating a business creates a unique legal entity that exists on its own in its own right. It is treated, in law, as an individual. This means the business has the legal ability to contract with others, own property, pay (lower) taxes, and it can sue or be sued. While normally being sued is negative, in this case it means that you, as an individual owner/shareholder, are protected. It offers you personal protection as a legal shield. It is only the company that can be sued, except if you do something wrong to attract shareholder liability personally. Learn more about the advantages here.
Incorporation Lawyers Help You Name Your Company
The laws in Alberta dictate that all corporations include an identifier. This identifier indicates that a business name actually legally exists as a corporation. A non-incorporated business is prohibited form using these in their names. The following are all legal names for incorporated businesses. If you want a named company, then you decide which name works for you. That said, you must include one of the below in your legal corporation name. For example, these include:
- Corp.; and lastly
From a legal standpoint, the one you pick is not relevant. Pick the one you like best or think sounds best for your business.
Decide Where To Incorporate Your Business
Our incorporation lawyers help you determine the best Canadian province to incorporate your business. Sometimes, it makes sense to pick more than one. Generally, it is best to incorporate your business in the province where your business is located. Alternatively, incorporate where most of your day to day business is done. If your company does business in more than one province, then you will need to incorporate in multiple provinces or in one province and then extra-provincial register the company in those other provinces. If you are incorporated in another province, then you may need to extra provincially register in Alberta.
Why Hire Incorporation Lawyers To Incorporate Your business?
It is important to incorporate your business properly. Going to a registry to incorporate may save you a little money in the very short term, but they cannot give you any legal advice or direction. Several consequences routinely emerge if you fail to properly incorporate. For example, we see clients impacted in the following ways if they fail to incorporate properly:
- Costs them money;
- Leaves them open to defending a personal lawsuit;
- Have creditors attach to personal assets;
- Keep them from selling their business;
- Cost more in taxes and/or face an audit or reassessment of taxes;
- Open them to tax fines/penalties; and lastly
- Keep them from getting business financing from banks or other lenders.
Have our incorporation lawyers help you to set up your company properly. This includes legally setting up the corporate minute book. We can answer all your questions and go over what you need to do to keep your company operating legally. We help our clients on a one on one basis.
What Is A Numbered Company In Alberta?
A numbered company is one that has an assigned number to it instead of a name that you chose. The provincial government assigns numbered company these numbers sequentially. You do not get to choose the number. A numbered company has the same legal rights, responsibilities and obligations as a named company. Legally, they are the same. Ask one of our incorporation lawyers on how this works and how a numbered company can save you some money. However, we note that if you later decide on a names company, we help clients legally change the name of your company to a new name.
What Is A Professional Corporations?
Some professions allow for a professional corporation. They exist to allow the benefits of a corporation to an individual. For example, a doctor, lawyer or accountant is personally allowed to practice their specialty because they earned a specific designation. A company cannot get a medical or legal degree. When our incorporation lawyers set up your professional corporation, the individual can get the tax savings of a company. There may be some limits to liability protection in these situations. Each professional self governing organization, sets their own rules for professional corporations. Learn more about professional corporations here.
Incorporation Lawyers Help Structure Your Company
Many options exist on how to structure your company. Sometimes, changing corporate structure down the road is an easy matter. At other time, those changes cost the business significantly. Of note, the best course of action is to structure it right the first time. Our business incorporation lawyers help you decide on key components of structuring your company. For example, whether you start an operating company or a holding company, we held decide:
- The name of the company;
- What types and classes of shares to have available;
- What types and classes of shares to actually issue;
- Determine the directors of the corporation;
- Determine the officers of the corporation;
- Set restrictions on the business the company can conduct;
- Set restrictions on how and to whom a shareholder can sell or give shares to;
- Transfer of shares when necessary; and lastly
- Create rules that you require for your specific company.
Maintaining Your Corporation
Maintaining your company is critical! We want to remind people that setting up the corporation is only the first step. In other words, ongoing, annual filing and minute book requirements continue in the years to come. Failing to file annual returns, hold and pass resolutions for annual shareholder and director meetings, and properly recording other changes, often adds to significant extra costs to the corporation. In some cases, failing to maintain these records annually leads to the loss of lender financing or completion of corporate purchases or sales. Lastly, the cost of Kahane Law Office maintaining your annual filing requirements is low.
How Long Does It Take To Incorporate Your Business In Alberta?
Our incorporation lawyers fit into your time requirements. Usually we leave about 3-4 business days to incorporate your business. Most important, if you need it the same day or the next day, we will work with YOU to meet your timelines! Since it is possible to incorporate so quickly, “self companies”, a company created and sits on a shelf until someone needs it in a hurry, are not seen often anymore.
Learn More About Business Incorporation Law
Please watch our legal minute video to learn more about incorporating your business. Click here to learn more form incorporation lawyers. We also have more information on the benefits of incorporating.
What Happens When You No Longer Need A Company
Lastly, sometimes people stop needing a corporation. They may amalgamate businesses, roll them over into new businesses, retire, or, unfortunately, go out of business. When you no longer need or use your Alberta corporation, it is best to dissolve it. This can end your liability moving forward. It also ends your legal requirement to file taxes moving forward. Lastly, it is a quick an inexpensive process to voluntarily dissolve your corporation.
Finding Incorporation Lawyers In Calgary, Alberta
Start off right. A solid foundation helps you and your business moving forward. we help plan and set up and maintain your corporation properly. The incorporation lawyers at Kahane Law Office help with your business incorporation legal needs. We can be reached at 403-225-8810 locally in Calgary, Alberta or toll-free at 1-877-225-8817 or email us directly here. In addition, although either office can help province wide, our Edmonton, Alberta location helps clients working north of Red Deer.