As a small business owner, you may have been wary in the past about incorporating your company. You understand the benefits of this action. However, you may have been confused about the actual process of carrying out this task successfully. When you use the online process provided for you on a website, you avoid the lengthy and tedious paperwork that you might have assumed went into this undertaking.
A registered business has:
1. a company name – there are rules on what it can and can’t include and most registrars will check the availability of the name. It’s important to find out if its not taken before you go ahead an use that name.
2. an address for the company. Your registered office address is where official communications will be sent. An address must be in the same country that your company is registered in.
3. at least one director. A director is legally responsible for running the company and making sure company accounts and reports are done properly.
4. at least one shareholder. A company limited by shares must have at least one shareholder, which can be a director. There’s no maximum number of shareholders.
5. the agreement of all initial shareholders (‘subscribers’) to create the company – known as a ‘memorandum of association’ ( a legal statement signed by all initial shareholders (known as ‘subscribers’) confirming they agree to form the company). Most private online registrars will send you copy once they help you register your business.
6. details of the company’s shares and the rights attached to them – known as a ‘statement of capital’. This is also provided.
7. written rules about how the company is run – known as ‘articles of association’ ( written rules about running the company that shareholders and ‘officers’ (directors or company secretary) have to agree.
They include rules about how to make decisions that affect the company and whether to involve shareholders in those decisions. You don’t have to worry about this too. They are all send to you after the registration process.
You can write your own articles but, if you do, you can’t register your company online.
Registering your business online
A typical business registration process involves several checklist items including registering your business structure, registering to pay taxes, registering to get a permit, and so on. You may already know that your business can successfully be registered at the business registry offices in your country.
Some countries allow entrepreneurs to register their businesses online to make the process faster. If your country’s business registry office does not allow an online registration, some private online business registration companies can help you out. You provide the basic information required and they will take care of the rest at a small fee.
When online, a new company registration form lets you begin the process without having to print off documents or return them to a brick and mortar location. An online business registrar can save you the time to kickstart your business registration process. They usually provide the standard documents once you give the necessary information required to get it done.
The online form asks for basic information about your company. For example, you must provide your full legal name and the salutation you prefer, as well as a valid email address and contact phone number.
You also must create a unique password for your online account, much as you would when setting up an account elsewhere online. Some online forms will ask you for your validation code to ensure that an automated system is not trying to breach this process.
The rest of the information about your company that is required includes its leader or director, its secretary, and other people who will be in charge or have decision making authority. If at any time you are unsure of how to fill out the form, you can use the additional resources on the registrar’s site. There are now lots of information out there for starting a new business. Do your homework and the process won’t take all your time.
You will have to pay your business registration fee once the process is done. It varies with every private registrar. Most companies offer a lot more for new businesses they register depending on the type of service you select.
Once the company is registered you’ll get a ‘Certificate of Incorporation’. This confirms the company legally exists and shows the company number and date of formation.
