Incorporation in Arkansas

Conway Incorporation Attorneys, AR

Find the Right Lawyer Now

Arkansas 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 office of the Secretary of State is the agency that receives applications for incorporation in Arkansas, and they must be completed in conformity with certain guidelines.

Benefits of Incorporation in Arkansas

A corporation enjoys benefits that unincorporated companies do not. Primarily, it cannot be held accountable for an amount of debt greater than the value of the assets that the owners have invested in it. Without incorporation, the personal property of business owners is at stake should the company become unable to fulfill its debts. A corporation also allows creditors in the Conway 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, a corporations charter requires that ownership be divided into stakes or "shares" of stock, all of equal size. This makes the process of transferring control much more practical.

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

4 Business - Transactional cases posted to LegalMatch lawyers in Conway

Incorporation Attorneys and Law Firms in the Largest AR Cities

Show Arkansas Cities

Costs of Incorporation

Incorporation comes at a price. First, Arkansas may charge a filing fee to process applications for incorporation. Also, the corporation will pay taxes as its own entity. The individual incomes of owners who are paid disbursements from the corporation's earnings are still taxed as well. This is called double taxation, but it can be avoided with proper planning and assistance from a local Conway lawyer.

Find the Right Lawyer Now

Breach of Contract Lawyers in Other Arkansas Cities and Towns

Need a Business Lawyer?

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