Are articles of organization the same as articles of incorporation

Clients often come to us because they have been asked to provide a document called the "Certificate of Organization". This document is commonly requested by financial institutions during financing or merger related activities. It can also be requested by insurance companies, attorneys, accountants, and more. 

This document frequently causes confusion because it has a variety of names, based on the state the entity was formed in. You may be asked for your Certificate of Formation, Articles of Organization, Certificate of Organization, Articles of Formation, or your company formation documents.

In Delaware, this document is called the Articles of Incorporation (for a corporation) or Articles of Formation (for an LLC).

When the term "formation" is used, it's referring to an LLC. When the term "incorporation" is used, it's referring to a corporation, regardless of whether "articles" or "certificate" is in front of it. 

All of the terms mentioned above are referencing the same document - the document that proves the creation of your company or corporation. 

You may be asked for your Certificate of Organization (or any variation of this term) and you'll present them with your Articles of Formation. 

When you form a corporation or LLC with The Incorporators, we send you this document with your package.

If you choose one of our E-Kits, you will have received this document via email.

If you chose one of our Basic, EZ Snap Kit, or Executive packages, you will have received this from us via UPS along with your corporate supplies (based on package).

This document has a file-stamp from the state of Delaware on it, confirming the existence of your company. You may be required to provide a Certified Copy of your Articles of Incorporation/Formation, though a Plain Copy may be acceptable in certain situations. We can provide you with either. 

If you have any questions about your Articles of Incorporation or Articles of Formation documents, feel free to give us a call at 800-223-3928. We'd be happy to assist you!

DISCLAIMER: The Incorporators LTD. is a business formation service company only.
All content on this site is for informational purposes only and should not be construed as legal, taxation or financial advice or services.

There are certain requirements that all business owners will need to complete before forming their corporation. One of the key requirements is filing for Articles of Incorporation. These important documents are required for business owners in all 50 states. And in order for your corporation to start conducting business, these documents need to be submitted and approved by the Secretary of State before your business formation can be considered complete.

Starting a business can be complicated. You need to make sure that you've selected the right name, have a business plan in place, opened up the right bank account, have the necessary financing, etc. You'll also need to complete and submit all of your business formation filings. When it comes to forming a corporation, this will include your Articles of Incorporation. (For Limited Liability Companies, these documents are known as Articles of Organization.)

If you’re just getting ready to form your business and have questions and concerns about how to do it, you’re in the right place. We will help put things in order and answer your what, how, why and where questions revolving around Articles of Incorporation.

Your Articles of Incorporation will consist of key information required by your state in order to form your C Corp or S Corp. They will be part of the public record and it’s important that the information submitted is accurate and up-to-date.

Official forms can be downloaded from your state’s business filing agency, which in most cases is the Secretary of State. Forms will vary by state, but the requested information is basically the same. On your Articles of Incorporation form, you will need to include:

  • Business name
  • Business address
  • Type of business or purpose
  • Name and address of your Registered Agent
  • Names and addresses of your board of directors
  • The number and types of shares the corporation can issue
  • The name of at least one “incorporator” who will sign and submit the articles
  • The duration of the corporation (if applicable)

How to File Your Articles of Incorporation

Once the form is completed, the next step is to make sure that the filing fee is also included with your paperwork. Filing fees can range from state to state, with Arkansas coming in at the lower end with a fee of $45 and Nevada proving to be the most expensive with a fee of $725.

From there, you can begin taking the following steps:

Decide How to File

You've got your paperwork and your fee together — now what? Check into the options your state has available for filing. Most states allow you to file online. If that's not the case for your state, then a printer and a visit to your post office will be required. Applying online should be straightforward, but if you need support, professional service providers can help walk you through the process.

Double-Check Everything

Make sure to read the instructions and proofread your form. These are legal documents. Although a process exists for corporations and LLCs to amend a filing, doing this at the initial steps of formation will lead to rejection, loss of time and the added cost of reapplying.

Wait for Confirmation

Once received, the state will review the filing making sure that everything looks good. Stumbling blocks to your application can include an incomplete application, missing or incorrect payment amount and unavailability of your company name. (To avoid the latter, a business name search would be highly recommended.)

Once the application is approved, you will receive a Certificate of Incorporation, setting you on the path the legally conducting business within your state as a corporation.

Although most corporations include bylaws — or at least they should — these are typically not part of the Articles of Incorporation filing requirements. Rather, the bylaws are the rules that govern the day-to-day operation of a business. Articles of Incorporation provide the general details of the business, whereas the bylaws get into the specific procedures and rules for managing the business.

They are helpful in showing how a corporation is run, especially if there is an issue within the board or an internal dispute. And unlike the Articles of Incorporation, which can be viewed by the public, bylaws are kept within the corporation and are not part of the public record.

Why Do You Need Articles of Incorporation?

Having your Articles of Incorporation submitted and approved by your Secretary of State or state governing office formally establishes your business. Now you are legally recognized as a corporation and can participate in the protections and even tax advantages that this designation offers.

Here are five key ways Articles of Incorporation benefit your business:

  1. Without them, you would not be able to legally operate as a corporation.
  2. You can now take advantage of favorable tax incentives offered by states, including green energy investments, production incentives, retirement benefits and more.
  3. Having your business formed as a corporation offers protections from business liabilities against personal assets.
  4. Your business can exist in perpetuity, making it easy to transfer ownership or to continue operating after the exit or death of key stakeholders in the business.
  5. An official business entity establishes a public image for your company and adds a level of trust and credibility to your business.

Your Articles of Incorporation are a key requirement to making your business “official” with the state and a part of the overall business environment. Approval of your filing and your Certificate of Incorporation (also called Certificate of Formation) means that you can now move ahead and conduct your business as a corporation.

What Happens After You Receive Your Certificate of Incorporation?

Now that you have your Certificate of Incorporation, you can move on to your next steps of getting your business running. Here's a checklist highlighting more tasks to cover. If you've already received your certificate, skip ahead to the "Write Corporate Bylaws" task.

Incfile’s Articles of Incorporation Service

Since 2004, Incfile has helped 800,000 business owners start, run and grow their businesses. Whether it’s establishing your corporation or setting up a Limited Liability Company (LLC), the professional staff at Incfile can find a Registered Agent, submit your state filing and make sure that your Articles of Incorporation (or Organization) are ready to go out for the state's review. If and when the time comes, we can also assist you with your Articles of Amendment and even prepare and file your annual report.

What is the difference between articles of organization and articles of organization LLC?

The Articles of Organization are state mandated and therefore are required by law while Operating Agreements are typically not required by law. The Operating Agreement aids in the wrap up of the LLC while the Articles of Organization will not since they are made to just establish the business.

What is the equivalent of articles of incorporation?

Articles of Incorporation may also be known as certificate of incorporation or corporate charter. Typically, a corporation is required to provide its name, number of shares it is authorized to issue, the address and name of its initial registered agent, and the name and address of the people incorporating.

What is the difference between certificate of incorporation and articles of organization?

The certificate or articles of incorporation are a legal document that solidifies the presence of a business entity within a state. The term articles of incorporation is assigned to a corporation, while the term articles of organization applies to a limited liability company (LLC).

What is meant by articles of organization?

Articles of organization are part of a formal legal document used to establish a limited liability company (LLC) at the state level. The materials are also used to create the rights, powers, duties, liabilities, and other obligations between each member of an LLC and also between the LLC and its members.

Toplist

Latest post

TAGs