Get the information you need to start a corporation in Washington DC, including details on the forms and fees you’ll need and other easy-to-follow steps that guide you through the process.
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by Jane Haskins, Esq.
Jane has written hundreds of articles aimed at educating the public about the legal system, especially the legal aspe...
Updated on: February 27, 2023 · 5 min read
Benefits of a corporation
Forming a corporation helps protect its owners’ personal assets. If a corporation is sued or cannot meet its financial obligations, the corporation’s shareholders only risk the amount of money they invested in the business. Their homes, cars, personal bank accounts and other assets are protected from the corporation’s creditors. There may also be tax benefits to forming a corporation.
Requirements for incorporating in the District of Columbia
Preparing your articles of incorporation
To form a corporation, you must file articles of incorporation with the Department of Consumer and Regulatory Affairs and pay a filing fee. The corporation’s existence begins when the articles are filed. The articles of incorporation must, at a minimum, contain the following information:
Stock structure
In regards to the stock structure, the following requirements apply:
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Naming your corporation
Before filing articles of incorporation, you should make sure your proposed corporation name is available in the District of Columbia. You can check name availability by conducting a search on the Department of Consumer and Regulatory Affairs website. You can reserve a name for 120 days by submitting an application to the Department of Consumer and Regulatory Affairs. Your corporation name must meet the following requirements:
Specifying incorporators
An incorporator’s main responsibility is to sign and file the articles of incorporation. The incorporators’ names and addresses must be listed in the articles. When specifying incorporators, you must adhere to the following requirements:
If the articles of incorporation do not list the corporation’s initial directors, the incorporators must elect directors. The incorporators may also adopt bylaws. The incorporators then have no further responsibilities.
Specifying directors
The board of directors focuses on the corporation’s long-range issues, setting policies and strategies. Because directors have a fiduciary duty to the corporation, they must always act in the best interests of the corporation and its shareholders.
When specifying directors, your corporation must meet the following requirements:
Specifying a registered agent
A corporation’s registered agent receives lawsuits, notices, and demands that are served on the corporation and forward them to the corporation. The registered agent for your corporation must meet the following requirements:
Stating a corporate purpose
Every corporation’s purpose must be to engage in lawful business. The articles of incorporation do not need to specify any additional purpose.
Determining incorporation bylaws
Bylaws are a corporation’s internal rules and procedures. They are kept at the corporation’s principal offices and are not filed with the Department of Consumer and Regulatory Affairs. Bylaws include provisions for managing the corporation’s business and affairs. They may include such items as the number and term of directors, the duties of officers, the way reports are made to shareholders, and the way shareholder meetings are conducted.
The following are requirements for corporation bylaws in the District of Columbia:
Costs of incorporating in the District of Columbia
The District of Columbia Department of Consumer and Regulatory Affairs requires a fee when filing articles of incorporation or reserving a corporation name. Corporations are also required to pay state and federal income taxes.
Ready to start a corporation in the District of Columbia? LegalZoom can help you form a corporation online in District of Columbia in three easy steps and find a registered agent in the District of Columbia.
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