I know that many of you have thought about incorporating (and you all should, even if you don’t have a business yet) and with any new endeavor, starting the process is the hardest part. So I thought I would share with you a few steps just to get you started. By following these steps, you should be ready to incorporate and have nothing but the paperwork left. You will see it is much easier than it seems. Don't let the process intimidate you. There is a lot to know, but I will break it down and give you some links to help you figure it out (in fact, here's a good one to start out with http://business-law.freeadvice.com/c...rporating.htm). If you have any questions, let us know and we will do my best to answer them.

1. Choose the name. This can be harder than you might think. Ask yourself these questions: what name do I want to represent my business? Do I want to try something different, like Monster or Google? Or do I want the name to closely resemble the business that I’m in, like YoungEntreprenuer Incorporated. There are some requirements for names, like they have to have "Corp.", "Inc." or "Incorporated" at the end. Or if you choose and Limited Liability Company rather than a corporation, the name must end with "LLC".

2. Choose whether you want to be a S-Corp or LLC. Basically, a normal corporation is taxed twice for every dollar they make. They are taxed when the money comes into the company, and when they pay their employees or when the owner pulls money out of the company. Small businesses may not be able to handle this, which is why the S-Corporation and LLC were created. The S-Corp is a special status that you can request from the IRS once you have created a normal corporation. S-Corps are granted a special status where they are not taxed when they make money, but only when the pay their employees or when the owner pulls cash out. LLC's have the same tax benefit, but with other benefits as well. If you are going to have sponsors or people funding your business, the LLC is probably a better bet. The LLC is less paper work as well, but it taxes a little differently. Check out these websites that compare the two. You can decide which would be best for you. (http://www.llc.com/LLC_vs_S_Corporation.html) (http://www.powerhomebiz.com/vol136/structure.htm)

3. Choose where you want to incorporate. Just because you live in a state, doesn't mean that you have to incorporate three. You can incorporate in any state, and many companies choose to incorporate in a different state because that state has more favorable corporate laws. Just remember, if you chose to incorporate in another state (Nevada and Delaware are popular ones) you will have to go through the trouble of getting a statutory agent (just a fancy term for your legal contact if people want to sue you) and a mailing address (like a PO box) in that state. There are services out there that can do both for you, but they will charge you for it. It is a good idea to check the corporate laws in your state before spending money on incorporating in another state. For all intensive purposes, your budding small business would probably be fine incorporating in your home state. Check out these sites for more information on where you might want to incorporate: http://www.allbusiness.com/business-...ess/590-1.html http://www.legalzoom.com/law_library...faq_where.html

4. Check the availability of your name. Once you decide where to incorporate, you will need to check the availability of your name. You never know, another small company me have already incorporated with your name, so it is important to check it’s availability before beginning the paperwork. Information regarding corporations and LLCs is public knowledge, therefore, each state should have a website or other resource avalable that allows you to view information regarding each corporation or LLC registered with there. If your companies name is taken, start brainstorming for a new one.

5. Follow the laws of your state. Okay, you know where you are going to incorporate, you have the perfect name and you are ready to start the paperwork. The processes from this point foreword are largely determined by the laws of the state in which you incorporate. All forms and paperwork should have instructions, follow them and you shouldn’t have too much of a problem. It may be wise to fill out the forms have it looked over by a lawyer, but that is up to you.

If you make it this far then there is no reason to stop. File your paperwork, make you business legal and enjoy the benefits.

Good luck