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Incorporation

Incorporation is the act of selling out shares of a company to generate revenue. Questions about incorporating, companies that are or will incorporate, or companies that are already incorporated can be asked here.

1,040 Questions

What does it mean to incorporate a company?

A company that has been incorporated means that it is now recognized by the state, in the US one of the 50 states, as an independent legal entity from its owners. This provides some legal protection for its owners.

What is the difference between LLC and Enterprise?

An LLC is a legal form of a company that blends elements of partnership and corporate structures. An enterprise is one company or business. Start-up companies are usually referred to as an enterprise.

How many hours can you work at 16 in UK?

i think a sixteen yea old should have the working hours of 4 pm to 10 pm

Person above me is completely wrong, so fail.

The FLSA does not limit the number of hours or times of day for workers 16 years and older.

That is the real answer and here the the proof to back it up http://www.dol.gov/elaws/faq/esa/flsa/028.htm

Why a partnership might decide to change to a private limited company?

  • limited liability
  • stock exchange
  • ability of raising more capital though issuing of shares
  • business will be taxed lowly as it will be connected to the Government
  • business gets cheap finance from Government Banks for e.g in Zimbabwe there is (RB Z) Reserve Bank of Zimbabwe

What to include in a business plan?

Background to business: · Name · Mission statement · Location · Physical size of business · Type of business ownership · Goals and objectives Marketing plan · Projected sales levels · Market analysis · Competitor analysis · SWOT · PEST · Ansoff Matrix · Product Life Cycle · Boston Matrix · Marketing Mix Production Plan · Quantity to be produced · Plant, machinery and equipment required · Quality levels required and means of assuring targeted quality · Different stages of production for the product or service · Timing of production to meet customer needs Financial Plan · Sources of finance · Budgets, including estimates of start up and working capital · Break even forecasts · Simple cash flow forecasts · Projected profit and loss accounts · Start up balance sheets Human resource plan · The number of employees needed · Skills and competencies · Recruitment methods · Training needs of employees Constraints · Legal · Financial · Social · Environmental · Technological · Competitive All of the information above is included in a business plan.

What mean veil of incorporation?

A company once incorporated becomes a legal personality, a juristic entity, separate and distinct from its members and shareholders and capable of having its own rights, duties and obligation and can sue or be sued in its own name.

What are the examples of public and private limited companies?

  • A public limited company is known as a Plc this is when anyone from the general public can buy into their shares
  • A private limited company is known as an Ltd this company is mostly a family and friend business so hey have a say if they would like anyone to buy into their shares.

Where was The National Geographic Society incorporated?

The National Geopraphic Society was founded on January 27, 1888 in Washington, D.C.

WHAT is true for a limited liability partnership?

The partner with unlimited liability is generally the initial person who started the partnership and owns the majority of the company.

Unlimited liability means if the company fails, files for bankruptcy and you owe debts; then your personal assets can be seized such as your home, car, contents of your bank accounts to pay off the debts.

The other partner(s) are only liable for their investment in the company.

Characteristics of cooperatives?

(a) Membership is open to all interested persons (b) The control of ownership is democratic. Each member has only one vote (c) Shares is not transferable (d) Distribution of surplus is made in proportion to the purchases made at the coorperative (e) No credit is extended to customers

Explain the provisions relating to the methods of discharging a contract by mutual agreement?

DescriptionThis section is from the book "The Law Of Contracts", by Samuel Williston. Also available from Amazon: Treatise on the Law of Contracts. Sec. 1793. Methods Of Discharge A contract may be discharged in the following ways:

1. Performance according to its terms.

2. A breach of such a nature as to justify the innocent party in treating the contract as rescinded or as giving rise to a right of action for breach of the entire contract.

3. Rescission of a voidable contract, at the will of one party, as for fraud, mistake, duress.

4. Release.

5. Rescission or renunciation by parol agreement.

6. Accord and satisfaction, including accounts stated and novation.

7. Cancellation and surrender.

8. Alteration.

9. Merger.

10. Impossibility.

To these may be added two defenses which generally are held merely to bar the remedy on the contract,

11. Bankruptcy.

12. Statutes of Limitation.

A right of action upon a contract may be discharged in any of these ways except the second and the eleventh.

Is it illegal to fire someone over the phone in north Carolina?

Yes, a person can be fired through any communications mechanism. While it is certainly considered better to do it face to face, for some shift and hourly workers it is not possible.

What is an Ullage Report?

Ullage is the empty space in a container. This usually refers to a gas or oil storage container. An ullage report states the difference between the height of the cargo and the roof of the container.

How long would you have to study for to become a lawyer?

Four year degree, two year clerkship after that and then admission exams before you can be admitted as a lawyer. 6 years!

Most states require a 4 year B.A. degree and 3 years in law school for a total of 7 years. Some states allow you to study with a lawyer and take the Bar exam. All states require some form of Bar exam, most using the Multistate Bar Exam as their base exam and additional state exams.

What is the difference in S-Corps and LLC?

An LLC is better than an S corporation under some circumstances. In other circumstances, an S corporation is the better choice. In fact an LLC can elect to be treated as an S corporation, if it meets the statutory requirements for an S corporation.

An S corporation has more restrictions that a limited liability company:

* It must not have more than 100 shareholders. * Its shareholders must be U.S. citizens or U.S. residents, and they must be generally be individuals (with some very limited exceptions). * It must have only one class of stock. * Its profits and losses must be allocated to shareholders proportionately to each shareholder's interest in the business. For a growing business, an S corporation offers much less flexibility. But there are some areas, such as FICA taxes which are payable on the income of members of an LLC but not on profits of an S corporation, that favor an S corporation.

What is one way that a general partnership differs from a limited partnership?

A general partnership would not be as close knit as the limited partnership. There also would not be as many legal proceedings to go with it.

What advantages does incorporation give to shareholders and company?

The incorporation of a company has many tax and legal effects on the business. Furthermore, incorporation of a company requires the business to adhere to certain legalities in order to maintain its corporate status. Incorporation of a company may also have a significant impact on the company's ability to attract investors.

Liability
  • One of the major effects incorporation has on a company is in the area of limited liability. When a company incorporates, it becomes a separate legal entity from the shareholders of the company. The shareholders of an incorporated company have limited liability for the company's debts and other obligations that may arise while running the business. As explained on the All Business website (http://www.allbusiness.com/), incorporating a company eliminates the possibility that a shareholder's personal assets can be used to satisfy corporate liabilities and obligations.

Taxes
  • Incorporating a company means the business will be responsible for its own taxes. In a corporation, the company's taxes are paid separately from those of the shareholders unless a company incorporates as a subchapter S corporation. Shareholders of a subchapter S corporation may pass their share of company profits to their individual or joint tax returns. However, a regular corporation, also known as a subchapter C corporation, may be subject to double taxation. According to the All Business website, an incorporated company must pay taxes on all profits at the corporation's applicable tax rate. Shareholders of an incorporated company must pay taxes on all corporate profits received in the form of dividends. Incorporating a company allows the owners to capitalize on certain tax advantages such as tax-deductible health and life insurance plans provided to the company's employees.

Stock
  • Incorporating a company allows you to issue stock as a mechanism to raise operating capital and attract investors. Incorporating a company may also allow you to attract key employees by using employee stock options as an incentive. In some cases, incorporating a company allows the business to issue more than one class of stock, which further increases the corporation's ability to attract investors. Each class of stock may have its own associated profit and voting privileges.

Formalities
  • Incorporating a company means there will be certain state-imposed formalities that must be followed. For example, incorporated companies must hold at least one annual meeting. Depending on the state of incorporation, you may be required to hold the corporate meeting in the state where the business was formed. Furthermore, incorporated companies are required to record corporate minutes. Corporate minutes record information such as the manner in which decisions were reached, as well as election results for corporate directors and officers.

Existence
  • Incorporating a company may allow it to exist well beyond the life of its initial owners because an incorporated company's existence doesn't depend on the corporation's ownership.

What is a important difference between a general partnership and a limited partnership?

Any general partner is jointly and severally liable for all debts of the general partnership; limited partners are not liable.

This means that all general partners are equally liable for partnership debts and any creditor can go after any of the partners to collect. Limited partners are not liable beyond their contributions.

What is the incorporation theory?

The incorporation doctrine is the legal theory that allows the Supreme Court to apply the Bill of Rights to the states under the Fourteenth Amendment Due Process and Equal Protection Clauses.

It made most of the Bill of Rights (the first ten amendments to the Constitution) apply to the state governments as well as to the federal government.

Under the original understanding of the Constitution, the power of the states was not limited by the Bill of Rights. States could restrict freedom of speech, search without warrants, and deny trial by jury, just to name three examples. The ratification of the Fourteenth Amendment in 1868 did not change this understanding.

But starting in 1925, the justices of the U.S. Supreme Court began to rule that some rights were so fundamental to the conception of due process of law that they must apply to the states through the Fourteenth Amendment, which prohibits any state from denying due process of law to any person.

The Supreme Court generally allowed states to restrict a fundamental right only if the authorities had a compelling reason for the law, and only if the law was narrowly tailored to accomplish a permissible purpose.

Some justices complained that there was no objective standard to judge which rights were fundamental and which were not, which reasons were compelling and which were merely rational.

While the incorporation doctrine greatly expanded the rights of Americans, it also transferred to the Supreme Court much of the power that had resided in state governments since the founding of the nation. Decisions about limits on police power, searches, confessions, free speech and prayer in school, topless dancing, Ten Commandments displays, abortion, vagrancy laws, and the death penalty all were taken out of the hands of state lawmakers and judges and turned over to the justices of the U.S. Supreme Court.

The incorporation doctrine is one of the reasons for the fierce political battles over nominees to the federal bench. The definition of fundamental rights and compelling state interests can change with the personal values and political views of the judges.

What is the Empresario System?

The Empresario System was a system of colonization that was used in Texas during the early 19th century. It was a system of colonization that encouraged groups of immigrants, usually from the United States or Europe, to come to Texas and settle. The settlers were granted land and other incentives by the government in exchange for their commitment to settle and develop the area. The system was implemented by the Mexican government in order to encourage immigration and the development of the state. The system was used from 1824 to 1835, when Texas declared its independence from Mexico.

The Empresario System was a unique combination of incentives and regulations that allowed immigrants to settle in Texas. It included the following components:

  • Granting of land to individuals or groups of settlers who agreed to develop and cultivate the land.
  • The granting of tax exemptions and other incentives to encourage settlement.
  • The requirement that the settlers become Mexican citizens.
  • The requirement that the settlers convert to Catholicism.
  • The requirement that the settlers learn Spanish.

The Empresario System was an effective means of encouraging settlement in Texas. It allowed for many immigrants to settle in the region and helped to develop the area. It also allowed for a more diverse population in Texas, which ultimately helped to shape the state's culture and society.

Who is a person who is focused on others?

It depends on the context. They could be considered a helpful person or a nosy person. They might be considerate. In a personality sense, someone who is focused on others is an extrovert.

Why are the different versions of the incorporation doctrine so important for the rights of privacy and due process?

why are the different versions of the incorporation versions of the incorporation doctrine so important for the rights of privacy and due process

Can you sue if you don't receive a pay raise?

Usually no.

If you are a full time employee and you believe you deserve a raise you should meet with your manager and politely ask for one with a convincing explanation why.

Generally you will receive one if your argument is convincing enough, because usually it will cost more for them to hire and train a new employee than to give you a raise.

Characteristics of a pleasant person?

The main characteristics of a pleasant person are:

  • Sense of humour
  • Engaging personality
  • Can laugh at themselves and not others when it's inappropriate to do so
  • non-judgemental
  • shows humility
  • Approachable to talk to and listens well
  • Only offers advice when it is appropriate
  • Shows sympathy and empathy
  • Has strong values and ethics