If you plan to incorporate in Hawaii, you have come to the right place. Without setting foot in a governmental building, we will reveal the steps in this article. There is an abundance of good reasons to incorporate your firm.
Above all else, it’s a method for determining the legal status of your company’s owners and decision-makers. Second, your assets may be safer if you incorporate them. For this reason, if a third party successfully sues your corporation and obtains a judgment against you, they will not be able to seize any of your
assets.
This is a crucial consideration if you own a home or a vehicle that may be seized if someone files a lawsuit against your unincorporated firm. Good news for anyone considering establishing a business in Hawaii: all the necessary steps may be completed without leaving the comfort of their couch! Methods to accomplish this goal are outlined below.
Choose a Name for Your Company and Check the Availability
You’ll need to consider what kind of name might be acceptable for your business. Other companies may already claim titles, particularly if you plan on acquiring an S-Corporation for your new firm.
This may happen regardless of the kind of business you want to start and the location in the United States where it will be headquartered (a sub-classification of a corporation that an LLC can form). Because of this, it is essential to check availability before getting too invested in a name.
Fortunately, there are services that you can use that will make this process quick and easy for you. Because Hawaii’s list of corporate organizations contains numerous personal and business names, this phase in the incorporation process may be more significant than in other states.
Register with the State Business Registration Office
If this is your first time incorporating a company, you may be asking how the process works. If you consider integrating it in Hawaii, you may wonder how the process works. To get things started, you must register your corporation with either the Hawaii State Business Registration Office or the Corporation Center.
They will inquire for details such as the name of your firm, the reason it was founded, the location of your organization, and further information. Be aware that in addition to registering with the state, you will also be required to register with the Internal Revenue Service (IRS) as a foreign entity conducting business in Hawaii. Because enrolling might take some time, you must begin preparations well in advance.
Set Up a Bank Account to Incorporate In Hawaii
The first and foremost step is to open a bank account. Having a bank account allows you to be paid. If you want fast and easy access to answers should any concerns arise, it’s best to work with a local bank that has branches throughout the islands. After getting your business off the ground, you’ll need quick and dependable access to your funds. This is why having an account that includes an ATM card and simple online access is essential.
Checking accounts, savings accounts, credit card processing, and ATM access are just a few of the banking options available to small businesses like yours. Look for a bank that can handle payroll if you plan on hiring workers; doing so will free you from the tedious task of monthly tax withholding and payment.
Create an Operating Agreement
Even though a Hawaii corporation may be formed online, an Operating Agreement must be drafted. This agreement specifies how your business will run and how earnings, duties, and any legal trouble will be distributed among the partners.
It’s also an excellent method to ensure everyone in a partnership with friends or family who has never worked together before is on the same page. It is in everyone’s best interest for this agreement to be written as precisely as possible.
Including a provision that spells out who gets to vote on what, how disagreements will be settled, and what will happen if a spouse wants to leave or passes away is essential. Remember that the Operating Agreement isn’t simply applicable in an emergency; it also protects you against any problems in the future. Keep adding to it when new issues arise to have a comprehensive action plan.
When you are looking to incorporate in Hawaii, The Corporation Center can help. We will help you through the process and make it as easy as possible. Contact us at the Corporation Center today at (800) 580-4870 for more information.
