Incorporation in Arizona

Phoenix Incorporation Attorneys, AZ

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Arizona 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 operating on its own when it buys and sells property, assents to contracts and exercises legal rights. A business seeking to incorporate in Arizona must file with the Secretary of State in accordance with established guidelines.

Benefits of Incorporation in Arizona

There are distinct benefits to incorporating a business. Most importantly, liabilities the business accrues may be satisfied only by assets that the owners have specifically invested in it. Had the business instead remained a collection of the owners' personal assets, the personal property of the stakeholders could be liquidated to pay the liabilities of the business, if it runs into financial problems. A corporation also allows creditors in the Phoenix area to assess the credit worthiness of the business as a whole rather than that of its owners, allowing the business to obtain loans more easily. Lastly, a corporation's ownership stake is divided into equal slices or "shares" of stock, which make investments in the business much easier to transfer.

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Life in Phoenix

It is in Phoenix, Arizona that one can find the "Jewel of the Desert."  The Arizona Biltmore Resort & Spa is known all over the world for its gorgeous 39 acre property.  In fact, celebrities, U.S. Presidents and millions of tourists stay at this wonderful resort.

Phoenix has much more to offer its tourists alongside the beautiful Biltmore.  Some popular attractions include the Arizona Science Center, Camelback Mountain, Castles n' Coasters, Chase Field, Encanto Park, and Orpheum Theatre.  Phoenix offers a mix array of attractions ranging from those displaying the beautiful desert and Mother Nature, as well as those with a modern, metropolitan touch.

Phoenix being the industrial hub of Arizona is home to many large, mid-size, and small boutique law firms.  In fact, the University of Arizona is a top law school that produces great legal minds every year.  Therefore, Phoenix citizens can rest assure because any of their legal needs can easily be taken care of. 

Costs of Incorporation

Along with a possible fee to file for incorporation in Arizona, there are other costs that corporations incur. The most important is that a corporation is taxed as its own entity. In other words, the profits a corporation makes are now taxed separately, while any disbursements to shareholders are taxed as individual income. This is called double taxation. However, a business may avoid this disadvantage with proper planning and assistance from a local Phoenix lawyer.

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