The use of ‘Inc.’ or ‘Incorporated’ within the business name for a limited liability company would be inappropriate in almost all states, and in most cases would prevent the filing of the LLC documents from being accepted by the secretary of state. [ Read More… → ]

“Ordering the book for subscriptions of stocks” deals with opening and closing the corporate books on the sale of shares to shareholders, typically at the time of incorporation.

This statement is a corporate formality so that ownership can be established. [ Read More… → ]

Corporations are owned by shareholders. Shares of stock can have “par value” or “no par value” — that is, a predetermined value of one share as set by the issuer at the time of incorporation.

Most corporations and shareholders opt for shares with “no par value”, and they do so for a variety of reasons. [ Read More… → ]

An individual can be a shareholder in more than one corporation (think of an individual owning shares of both Ford and General Motors), and as long as the corporations retain a completely separate existence (i.e. keep separate books and records, maintain separate bank accounts, etc.), merely owning shares in separate companies should not cause financial liability to flow between any of the entities.

Let’s use an example of a husband and wife who do not “mix finances”. The wife owns the house solely in her name, and the husband has a business solely in his name with debts both personal and under the business. They carefully keep completely separate bank accounts, credit card accounts, etc. [ Read More… → ]

Standard Legal Network is unaware of any restriction on ownership of shares of a Class C Corporation.

In fact, it is fairly common for an L.L.C. to be the owner of stock in a corporation.

Be aware, however, that under the IRS rules, a Limited Liability Company cannot be an owner of stock of a corporation that elects S tax treatment.

Get complete details here on Standard Legal’s Incorporation and LLC legal forms software here.