Eureka! You have a unique idea for an endeavor that you’re passionate about or believe can meet the needs of many consumers. You have collected feedback and tested out this great idea. But before you can bring your idea to life, you need to know how to incorporate it into a business.
Having your big idea allows you to choose a business model and create a business plan that acts as the foundation for your new venture. Incorporation is a critical next step before launching a small business.
In this post, we’ll take a look at what it means to incorporate as a business entity.
We will also outline some of the most common entities for incorporation, including these formations:
- Sole proprietorship
- Limited liability company (LLC)
- Professional corporation
- Nonprofit corporation
What does it mean to incorporate a business?
How is incorporation defined?