"Organizing", to me, means the actual formation process, which varies from
state to state. Check with the Secretary of State for the state you plan to
start and operate your business in, as they'll have the specifics of how to
organize the entity in that state.
The basics include writing the articles of incorporation, or acticles of
formation of the partnership, completing the forms required by the state,
and submitting a check. Other submissions or other steps may be in the mix
depending on the type of business activity you are starting.
Federal tax ID's need to be applied for, and depanding on if the business
will have employees, state withholding and other payroll related tax numbers
need to be applied for.
In addition, if you have sales subject to tax, plan to sell alcohol or other
controlled substances, or plan to have dealings with other regulated
industries, other applications for permits, licenses and the like are
An "S" corporation can have only one shareholder (not members) if it wants
to or needs to. Again, state laws vary, but often times state laws spell
out how many officers the company must have, and if those can be held by the
The most important issues to consider have to deal with the formation of and
dissolution of the entity. Second issue is the annual tax implications on
the owners of the business. The type of entity you form has very little
impact on the day-to-day operations of the business.
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