To conduct business activities in California, you need to be familiar with the business corporation laws of the state. This is because the business corporation laws of California are different from those of the other states of the USA. For example, if your corporation is already registered in another state and you also want it to be registered in California, you will have to make a filing fee to the California Secretary of State. Again, even if your corporation is registered in another state, but is not doing business there, you will still have to pay franchise taxes to the state of California to work there. This means that you will be subject to double taxation. You also need to keep in mind that apart from corporate law, the corporate security laws in California also differ from those of the other states.
To form a corporation in California, you’ll need to draft the Articles of Incorporation. For this, you’ll have to give details such as the name of your business company, office address, and the name of a registered agent. Next, you will have to present your document to the California Secretary of State, Corporations Division, which will then process your application. Once your document is found to be in order, your business will be incorporated as a limited liability company.
Besides this, you may also include the Articles of Organization, Articles of Amendment and also the Articles of Dissolution in your incorporation document. The office of the Secretary also allows you to opt for Foreign Qualification, which means that you can do business with any organization outside the state of California.
You have the option of choosing the name of your California business corporation, which once approved will be reserved as exclusively yours. It must however be noted that the State of California has its own rules in respect of naming a corporation. Your corporation name should have some corporate indicator such as Inc., Corp., Incorporated, or Corporation.