4 Benefits of Incorporating Your Business (And How an Attorney Can Help!)

Incorporating your Washington business certainly has its benefits. However, many business owners make the decision to incorporate after reading a few websites by self-professed “experts” before heading over to the State website, filling out the forms, and hitting submit. You pay the filing fee, plus the fee to designate a registered agent, and then have a celebratory drink because you didn’t waste money on an attorney. 

While startups may not have the biggest budgets, the last place you should be cutting corners is the setup of your business structure. You may know how to complete an online form, but do you also know how to:

  • Create bylaws and resolutions?
  • Maintain accurate records of your directors, officers, and shareholders?
  • Issue and redeem shares?

You can risk all of the benefits of incorporating if you believe that templated forms are all that’s necessary to start and run a Washington business. In this blog, we will look at how a business attorney can help you maximize the benefits of incorporating your business. 

  1. Your Business Name Is Protected

When you incorporate, the name of your business is automatically protected, meaning no other business that sells similar goods or services can use it within Washington State. 

  1. Your Personal Assets Are Protected

One of the biggest benefits of incorporating is that you and your company are legally separate entities. If business debt goes through the roof and creditors start filing claims, they can’t touch your home, retirement account, and other assets.

If your corporation is poorly set up, however, you risk losing a lot. “Piercing the corporate veil” takes place when courts decide to hold officers, directors, shareholders, or members personally accountable for business debts. An attorney can help prevent this from happening by making sure you understand the operating requirements and formalities of a corporation.

  1. You Can Sell Stock

With a corporation, you can raise money by selling stocks, which reduces the need to borrow from the bank. A business attorney can advise you on proper share descriptions so you can work with investors who show interest in your company.

  1. Your Business Looks More Legitimate

Incorporating your business makes it easier to connect with prospective vendors, clients, and customers. People are rightfully wary of scams these days, and that extra “Inc.” at the end of your name can give you an invaluable air of legitimacy. 

Working with APH Law from the beginning will ensure that the incorporation process goes smoothly and you have the legal support you need to run a successful business. For more information, please contact us today.