ShmoopTube
Where Monty Python meets your 10th grade teacher.
Search Thousands of Shmoop Videos
Career Categories Videos 19 videos
What's the difference between a real estate agent and a real estate broker? Is the latter just, uh... out of cash? Quite the opposite, in fact. Jum...
So... what's a TSA worker, and what do they do? Oh, we thought maybe you knew. Okay, okay... so TSA (or Transportation Security Administration) wor...
Finance: How Do You Become Incorporated? 48 Views
Share It!
Description:
How do you become incorporated? Go to Legal Zoom. Pay $150, file with the state of Delaware or whoever each year. Pay another $150. Most file as LLCs when they are small, so the costs are low.
- Social Studies / Finance
- Finance / Financial Responsibility
- College and Career / Personal Finance
- Life Skills / Personal Finance
- Finance / Finance Definitions
- Life Skills / Finance Definitions
- Finance / Personal Finance
- Courses / Finance Concepts
- Subjects / Finance and Economics
- Finance and Economics / Terms and Concepts
- Terms and Concepts / Banking
- Terms and Concepts / Board of Directors
- Terms and Concepts / Incorporation
- Terms and Concepts / Regulations
- Terms and Concepts / Stocks
Transcript
- 00:00
Find it a la shmoop how do you become incorporated
- 00:06
Well the first question you want to figure out is
- 00:08
why do you want to become incorporated in the first
- 00:11
place Well here's the sitch if you have an ice
- 00:13
cream shop that you own personally you've got twenty grand
Full Transcript
- 00:17
in a bank account in eat yellow snow dot com
- 00:20
it's the name of your ice cream shop you haven't
- 00:23
been successful yet you personally own your own home You
- 00:26
have a fully paid for car and a really nice
- 00:29
xbox set up some stooge slips on a banana peel
- 00:33
in your store and would boob sues you for negligent
- 00:37
banana peel Pick up the student has great lawyer draws
- 00:41
an angry jury and you lose big you are one
- 00:44
hundred grand to cover the stooges pain and suffering well
- 00:48
because you didn't watch this video and listen to shmoop
- 00:51
you not only lose the twenty grand in your company's
- 00:53
bank account but you have to sell your house to
- 00:56
pay off the lawsuit Well if you're lucky you'll keep
- 00:59
your xbox It all depends on whether you net after
- 01:02
your mortgage from the house sale enough money to pay
- 01:05
Off the stooge in his lawyer Ah if only you
- 01:08
had incorporated Well if you had all you would've owed
- 01:12
was the twenty grand from your company bank account You
- 01:15
could have closed up shop and gone into surfboard waxing
- 01:18
or you know whatever but you'd still have your home
- 01:21
with the nice xbox set up So how do you
- 01:24
make this magic happen Well the process used to cost
- 01:27
thousands of dollars in require a real lawyer Today Most
- 01:31
people just go to legalzoom dot com fill out a
- 01:33
few forms about three hundred bucks and voila they're done
- 01:37
They're officially incorporated as an llc limited liability corporation Well
- 01:43
most people officially registered their companies in delaware because that
- 01:46
state offers extremely cheap taxes easy filing systems and it's
- 01:51
set up to accommodate corporate filings at scale So you
- 01:55
as the new filer get the benefit of walmart pricing
- 01:58
for the process And along with that wal mart pricing
- 02:01
comes the freedom to wear sweat pants in public Yeah
- 02:05
you just keep doing you and the limit your liability
- 02:08
It's a smart thing to do L l c three
- 02:11
letters
Related Videos
GED Social Studies 1.1 Civics and Government
What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...
What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...
How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...