"I see that there are some other add-ons to your services. Which are the most popular and necessary? As I mentioned, I'm a small seasonal business and the only employee. Are some of the add-ons only relevant to larger businesses?"
This was a recent question submitted on the Incfile Facebook page, and it's probably a question a lot of business owners have as they make the decision to incorporate. As an entrepreneur just starting out, we understand you need to be mindful of your budget since there are a million things to address before you start bringing in a steady income. And forming an LLC or Corporation shouldn't break your bank! We've put together a list of "necessary add-ons" that can help you create the Incfile package that is just right for your business.
Choosing an Entity
The first step in deciding which add-ons to purchase is first determining which entity is right for you. You can choose from an LLC, S Corporation or C Corporation. If you are in a similar situation as the entrepreneur who sent in the question above and have a small business with zero to just a few employees, you more than likely want to file as an LLC.
For new businesses, LLCs are the most common entity type for a few reasons:
Business taxes are passed through to your personal tax returns
Your personal assets at protected if you accumulate debt
There are fewer state requirements placed on LLCs (compared to S Corps or C Corps)
Selecting a Package
The next part of the process is to consider if a Silver, Gold or Platinum Incfile package is right for you. Incfile takes the guesswork out of filing for a business entity, so you can't go wrong with any of the packages if you're a brand new small business.
Everything you need to complete the complex process of filing your entity with your Secretary of State can be easily addressed through any selected package. Starting at just $0, every package comes with the following:
Articles of Organization that describe your business structure
Search tools to ensure no one has your business name
One full year of free Registered Agent services (we're one of the only online business formation companies that offer this!)
The Statement and Resignation of the Organizer, which designates the owners of your company (called "members" in an LLC)
Unlimited phone and email support from our knowledgeable team
Order status tracking
Complimentary one-hour business tax consultation, where you can get answers to common questions like "Is this deductible?" and more
Next business day processing
Lifetime company alerts reminding you to file important state paperwork
Online access your incorporation documents
Picking Some Awesome Add-Ons
We know that funds are probably tight for getting your new company off the ground, so we created some useful add-on options that are completely up to you. These add-ons let you customize any package according to your business needs.
Employer Identification Number/Tax ID
If you're planning on hiring employees or opening a business bank account for your LLC, then you'll need to file for an Employer Identification Number (EIN) with the IRS. With this add-on, we'll apply for and obtain your EIN from the IRS and deliver it electronically along with your filed company formation documents. Or, you can choose to do this yourself through the IRS website.
If you're going into business with other members in your LLC, then an Operating Agreement is a must to outline ownership percentages, rights and responsibilities of the LLC members. In this add-on, we take the most commonly used provisions and customize them to fit your individual situation.
To better address all of your needs, Incfile also offers a $199 add-on to have a document customized. From there, a business attorney will follow up with you one-on-one to gain a better understanding of your goals and tailor the agreement to include those specific provisions and/or contingencies.
If you're a solopreneur, creating an operating agreement isn't quite as urgent as if you had corporate partners. Since you're the only LLC member, you may not need this right away — but there are some cases where a bank may require it if you're applying for a business loan in the future.
Along with your EIN, a Banking Resolution creates official documentation to authorize the opening of a bank account and designates who has signature authority for this account. This is another option that likely isn't necessary if you're a solopreneur.
Business Website & Domain Name
We want you to succeed, and it's no secret that an online presence is necessary for any modern day business! To help, we've partnered with Xoopah so you can set up a professional and amazing looking website in no time at all. This is completely optional and an added bonus service for becoming an Incfile customer.
This is one of our most valuable resources. As an entrepreneur, you need to protect your intellectual property and create documentation for other legal aspects of the business. You will receive 25+ legal documents, including the below listed 10 of our most popular contracts that will save you time, aid with legal protection and prevent unnecessary worry:
Non-Disclosure Agreement (NDA)
Bill of Sale
Release of Liability
Customized LLC Kit
Ready to look the part of a polished, official business owner? Our customized LLC kit keeps your most important entity documents safe in one place. With this kit, you'll get a customized slip binder and case with your company name, an embossing seal so you can create official documents and custom-printed corporate forms.
Our Top Three Add-Ons
So back to the initial question: Which add-ons are the most popular and necessary?
Of course we believe all our add-ons are huge assets to starting your business! But if we had to choose, we'd say these are our top three:
You'll need a business EIN to hire employees and open your bank account, so we recommend getting that out of the way quickly. By the time you need this information, you'll already have it!
Creating a customized Operating Agreement is incredibly valuable if you have partners. It can eliminate hassles, headaches and expensive legal fees down the road.
Our Contract Library is invaluable because we have created some of the most important and necessary contracts your business may need all in one place.
If you're still not sure which package or add-ons are right for you, contact us today. We would love to discuss your business needs and help you get started with the resources that are exactly right for building and growing your company.