Changing The Name Of Your Corporation
Corporate name changes happen often for a variety of reasons. Legally, the protection and benefits you get from having a corporation do not change if your corporation is a named company or numbered company. Even though this is the case, many people want to change the name of their corporation each year. It is essential to do this correctly to protect yourself and your business. The Corporate name change lawyers at Kahane Law Office in Calgary, Alberta (403-225-8810) help. The cost of changing your legal corporation’s name with a lawyer is very low. We also process the name change quickly when needed.
Reasons For A Change In Name For A Company
Each and every year, thousands of Canadian corporations decide to change their names. A variety of reasons exist for a business to decide to change its name. For example, common reasons for corporate name changes include:
- Merger with another company;
- Change in type of business;
- Brand has suffered a public relations problem;
- Expanded corporate services;
- You want the public record to reflect the name of the corporation; or lastly
- Non-legal entity trade names or “operating as” no longer ideal.
Regardless of the reason behind the decision to change the corporation’s name, you will always need to file a variety of legal documents with the Canadian government indicating the change. In order for the new name to be a legal corporate entity, you must follow the exact rules regarding corporate name changes.
How To Legally Change A Company’s Name
In order to legally change the name of a corporation, it is important for the proper steps to be completed. All corporate name changes require a resolution of corporate name change of the shareholders. These resolutions require proper recording in the corporate minute book. The company also need the appropriate articles of corporate name change after registering the change with the Alberta government. Missing any step frequently leads to issues down the road.
Consequences Of Improper Changes To Company Names
If a non-legal name is used when doing business there can be sever consequences. A corporation is only a legal entity because the law in Alberta makes it one. A non-legal corporation is only a trade name or business name. Simply put, no legal entity exists. This means that there are none of the rights and protection given to them. The result of this means that the following may a consequence of a corporate name change not being done correctly:
- Lose liability protection as a corporation;
- Personal liability of business owner;
- Loss of tax write offs;
- Being taxed as an individual not the corporate tax rate; and lastly
- Taxed reassessment and personal taxation on full annual income.
Business Is Risky Enough – Don’t Add Risk
A legally binding corporation ensures that all officers and employees of your corporation are on the same page. This also assures that what the government sees in your various filings is accurate and matches up. Service Alberta, the government department that mandates the corporate name change requirements set the rules for properly changing the name of your corporation. You do not have to worry about the basics of your business if you contact one of our Calgary, Alberta, corporate name change lawyers. Let us take care of the documents and let you to continue to build your business.
Finding a Corporate Name Change Lawyer In Calgary, Alberta
Ensure your company follows the correct steps needed under Alberta law to remain protected. The corporate name change lawyers at Kahane Law Office help with your business incorporation legal needs. Connect Today. We can be reached toll-free at 1-877-225-8817 (or 403-225-8810 locally in Calgary, Alberta), or email us directly here.