Incorporation in Alabama

Leeds Incorporation Attorneys, AL

Find the Right Lawyer Now

Alabama law allows a business to incorporate and be recognized as its own legal entity. As a separate entity from the owners, the business is then considered to be functioning on its own when it buys and sells property, assents to contracts and exercises legal rights. The Alabama Secretary of State receives and processes applications for incorporation, which must be submitted in compliance with local guidelines.

Benefits of Incorporation in Alabama

Advantages of incorporation are many. The primary benefit is that the liabilities of the business can only be satisfied by the assets specifically invested into the company by the owners. Had the business remained unincorporated, owners risk losing their personal property should the business become unable to fulfill its liabilities. A corporation also allows creditors in the Leeds area to assess the credit worthiness of the business as a whole rather than that of its owners, allowing the business to receive loans more easily. Lastly, the ownership stake in a corporation can be apportioned into uniform slices, known as "shares" of stock. This makes it possible to sell ownership investments in more manageable slices.

Find a Leeds Lawyer that Specializes in Your Area of Need:

Incorporation Attorneys and Law Firms in the Largest AL Cities

Show Alabama Cities

Costs of Incorporation

Incorporation comes at a price. First, Alabama may charge a filing fee to process applications for incorporation. Also, the corporation will pay taxes as its own entity. The individual incomes of the owners are still taxed also, and this can mean the same income is taxed twice, known as double taxation. With proper planning and assistance from a local Leeds lawyer, you can avoid this disadvantage.

Find the Right Lawyer Now

Breach of Contract Lawyers in Other Alabama Cities and Towns

Top Rated Lawyers

View attorney profiles and see how other LegalMatch users rate attorneys that may respond to your case.

Family Law Lawyer
LegalMatch Family Law Lawyer Scott J.

Scott J.

Jefferson, AL

Family Law

Rating (4 users) *****
See Reviews
Family Law Lawyer
LegalMatch Family Law Lawyer Sid H.

Sid H.

Jefferson, AL

Family Law

Rating (17 users) ****
See Reviews
General Practice Lawyer
LegalMatch General Practice Lawyer Jesse H.

Jesse H.

Montgomery, AL

General Practice

Rating (4 users) *****
See Reviews
General Practice Lawyer
LegalMatch General Practice Lawyer Paul S.

Paul S.

Dekalb, AL

General Practice

Rating (1 users) *****
See Reviews

Need a Business Lawyer?

No obligation - Lawyers compete for your case. Choose your issue & get started now: