The way in which your business entity is formed will determine the personal liability of the founders, how taxes are paid, and other important details. Attorney Landon A. Dunn can assist you with selecting a business entity, forming your business, and registering it with the State of North Carolina.

Business Corporations

Many business owners choose to form a corporation with Articles of Incorporation, issuance of shares of stock, and corporate bylaws. Articles of Incorporation contain basic information about the corporation and serve as its charter or constitution. Bylaws are the rules that govern the operation and management of the company. The Articles of Incorporation are filled with the Secretary of State, which registers the corporation with the State of North Carolina.

Filing the online form provided by the North Carolina Secretary of State does not establish ownership of the business. Ownership is established by issuance of shares of stock.

Limited Liability Corporations

Another form of business is the LLC—Limited Liability Corporation. An LLC is formed using Articles of Organization; these documents are filed with the Secretary of State. An Operating Agreement, which establishes ownership of the LLC by percentage of membership interests, is an internal document that governs the entity’s operations and relationships between members.

As the name suggests, an LLC limits personal liability for members and offers other benefits such as pass-through taxation.

Work with a North Carolina Business Formation Attorney

Your choice of entity for your business should align with your goals and circumstances. Attorney Landon A. Dunn can help with the formation and organization of your business as well as all your legal needs for your small business. To learn more or to schedule a consultation, call the firm or contact us online.