Enacting a Corporation in the State of Florida - Research Paper Example

These laws are intended to cater for the needs of the people and constitution of Florida. After graduating from college, starting a business corporation would be a great idea to earn a clean living. This essay will discuss the procedures and requirements one is supposed to abide by when enacting a corporation in the state of Florida after graduating from college. As a new investor, it is essential to know the types of corporations allowed in Florida. One type includes a general profit corporation which is owned by stockholders.

Another type is Close Florida Corporation which is limited to between 30 and 50 stockholders. The director of the close corporation is required to offer shares to existing stockholders before selling them to new ones. Another type of corporation is a Florida limited liability company, a form of business structure from Latin America and Europe. There are many business opportunities for fresh college graduates. Starting a lucrative business is one such opportunity that many college graduates can venture into.

Many fresh college graduates have brilliant business ideas. However, these ideas only materialize for the few who are willing to endure the strain that come with initiating a new business (Strauss, 2003). Starting a new corporation requires some information to be created about the business venture. The first and most prominent is the name of the corporation. A name can either be inviting or repelling to potential clients (Strauss, 2003). The name of a corporation needs to be unique and not in use by any other registered body.

The name of a corporation uniquely identifies and differentiates it from many other businesses that already exist. ‘Newline Corporation’ has been chosen as the most suitable name for the business that is being set up in Florida. This is because the name is not in use by any other business and it signifies a new development that is coming up in an already existing industry (Barnet & Ronald, 1974). The next step is to create a filing receipt system. This allows constant follow up of any purchases or payments that have been made.

It also creates accountability in the use of capital and resources (Kamoroff, 2000). Knowing the amount of money that has been spent at each stage and on what enables an individual to plan for the remaining tasks. It can also be helpful in time management and in evaluating the progress made in starting up the business. A filing receipt system can be used to determine if it is in line with the specification on when the corporation should be up and running (Beerel, 1993). A filing system enables an individual to easily retrieve information whenever it is required.

The filing system consists of both manual and automated systems that are labeled under the month and years of their receivership. The most current files should be put at the top. It is crucial to keep a record of the receipts due to tax purposes. Some kinds of receipts that will need to be kept safe include unpaid invoices, business receipts, vender statements and client product receipts (Beerel, 1993). At the end of each year, the receipts need to be purged and filed with taxes. An article of incorporation is sometimes referred to as a certificate of incorporation.

It must fulfill information as permitted by set laws. A form is required to be filled and filed by the secretary of state (Corporations in General, 1964). This form includes information about the name of