Filing a Rhode Island Corporation
A Rhode Island Corporation could be advantageous to new business owners because of the benefits it offers. A Corporation could provide numerous tax breaks to owners and members. It could also provide instant credibility to customers and clients. Unfortunately, many owners are overwhelmed by the filing process. This article details all steps involved with creating a Rhode Island Corporation.
Steps To Filing a Corporation
Choose A Name
The first thing that prospective owners should do is choose a name for their new entity. The name that they select should be unique, as the state of Rhode Island does not allow two Corporations to share the same name. To ensure that this does not happen, owners will want to use the DoMyLLC Name Availability Check Page.
Additionally, Rhode Island requires Corporations to have an indicator in their name. So, owners will want to add something like, “Incorporated,” “Company,” “Corporation,” or “Limited” to their name. They can also add an appropriate abbreviation, such as “Inc.”
Choose An Agent For Service Of Process
After choosing a name for the company, those looking to form a business will need to select a registered agent. The registered agent is responsible for accepting legal correspondence for the company. As you can imagine, the registered agent could provide vital in a new company’s success. To ensure that they secure a quality registered agent, owners should check out the services offered by a professional third-party company, such as DoMyLLC.
File Articles Of Incorporation & Pay Filing Fees
After securing a name and registered agent, new owners can file Articles of Incorporation with the Secretary of State. The fee required to do so is based upon the amount of stock the Rhode Island Corporation is authorized to share. The minimum charge is $230. This covers any Corporation authorized to issue less than 75,000,000 shares of stock. Information that owners will need to provide in the Articles of Incorporation includes:
- The name of the company
- Total number of shares issued, as well as the class of stock and par value of each share
- Name and address of the registered agent
- Confirmation of the purpose of the business
- Additional provisions
- Name and address of each incorporator
- Effective date
- Signatures of incorporators
- Filer contact information
File Initial Report
The Rhode Island Corporation will not need to file Initial Report
Create Corporate Bylaws, Appoint Directors And Hold Meetings
Once owners have filed the Articles of Incorporation, they will need to hold an initial corporate meeting. Those who filed Articles of Incorporation are responsible for overseeing the meeting. Incorporators should appoint individuals to the board of directors at this meeting and record this information in the corporate records. Directors will serve on the board until the next annual meeting of the shareholders, where they will be up for re-election.
Once the board is in place, directors can define the roles of officers and elect individuals to each position. They can also draft bylaws, which will serve as an internal operating manual. The Rhode Island Corporation cannot exist or conduct business until the board of directors has adopted bylaws. Additionally, many banks and insurers require proof of bylaws before working with a Corporation.
Issue Stock
While at the initial corporate meeting, the board of directors should also issue stock. The board is the only entity with authority to issue stock, and they can do so at any time during the life cycle of the Corporation. The number of shares that they can release is defined in the Articles of Incorporation. The board should also maintain a stock ledger, which will provide transparency of every transaction for future investors. This will serve to protect the corporate veil.
Obtain Employer Identification Number
The Rhode Island Corporation will also need to secure an Employer Identification Numbers from the IRS. The Corporation will need this number to file taxes, hire new employees, and open a business banking account.
File Rhode Island Required Annual Reports
By March 1 every year, the Rhode Island Corporation should submit an Annual Report to the Secretary of State’s office. There is a $50 to do so. The Corporation can begin filing on January 1. Officers can learn more at our Rhode Island Annual Report page.
Ongoing Maintenance
The company must also file state and federal taxes and renew all licenses and permits each year.
How DoMyLLC Can Assist With Streamlining The Process
At DoMyLLC, we offer comprehensive services for owners of a Rhode Island Corporation. Our services include:
- Name availability check
- Prepare Articles of Incorporation
- File Articles of Incorporation with the Secretary of Rhode Island’s office
- Provide sample bylaws, meeting notices and minutes for meetings
- Dedicated account manager
- Unlimited customer support
Contact us today to learn more about how we can handle your administrative needs, allowing your business to grow.