In Arizona, How To Start A Corporation

With our 5-step method, forming a company in Arizona is simple. A company may be formed by submitting formation paperwork with your state and forming a board of directors.

We’ll teach you how to form your own company in Arizona.

In Arizona, it is simple to form a corporation.

To get started, follow the steps in our How to Start a Corporation in Arizona tutorial below:

Step 1: Give Your Arizona Corporation a Name

Step 2: Select a Statutory Agent in Arizona.

Hold an Organizational Meeting in Step 3

Step 4: Submit your Articles of Incorporation.

Step 5: Obtain an EIN

Step 1: Give Your Arizona Corporation a Name

The first step in forming a company is to choose a business name. You must choose a distinct name that conforms with Arizona corporate naming regulations.

1. Arizona naming conventions:

The words “corporation,” “business,” “incorporated,” “limited,” or an acronym of one of these keywords must appear in your name.

Your name must be distinct from any other businesses in your state.

To incorporate the following words and phrases in your name, you must first get written permission from the Arizona Department of Financial Institutions:

banker; banking; banc; banco; banque; credit union; deposit; savings association; building association; savings and loan association; savings bank; thrift; trust; and trust firm

Visit the Arizona state legislator’s website for a comprehensive list of all name criteria.

2. Is my business name accessible in Arizona?

Your Arizona company name must be distinct and distinct from existing Arizona business names. To see whether your proposed company name is available, use the Arizona Corporation Commission’s Business Search Portal.

Visit our How to Name a Business guide and pick Arizona from the drop-down box for additional information on Arizona corporation name searches.

3. Is the URL accessible?

Before forming your Arizona company, check to see whether an appropriate URL for your preferred business name is accessible. Even if you don’t intend to create a company website right immediately, we recommend purchasing a web domain right away to avoid other companies from obtaining it.

Step 2: Select a Registered Agent in Arizona.

When you form your company with the Arizona Corporation Commission, you must designate an Arizona statutory agent, also known as a registered agent.

What exactly is a Registered Agent? A registered agent is a person or organisation chosen by an LLC or corporation to accept service of process, government communications, and compliance paperwork on behalf of a company.

Who Is Eligible to Be a Registered Agent? An person, a corporate organisation, or a professional registered agent service may serve as your registered agent. Any member of the company or individual may act as your Arizona statutory agent as long as the person meets the following requirements:

is at least 18 years old

has a physical address in the state where business is done

is accessible during regular business hours (in person).

Step 3 Hold an Organizational Meeting

Before filing the Articles of Incorporation formally in Step 4, you must conduct an organisational meeting to perform the following tasks:

Complete and sign the Articles of Incorporation.

Establish and approve bylaws

Choose your first director (s)

Determine your ownership structure.

Fill out an Incorporator’s Statement.

Establish and Approve Corporate Bylaws

Bylaws are the rules that regulate and control how your organisation is governed and operated. Consider the bylaws to be your corporation’s constitution. It clarifies the norms and priorities for all parties involved.

The bylaws of a company will augment any regulations established by the federal government or the state

Include the following in your bylaws:

The governance of the company, including the roles of directors and officials

Meeting processes, voting procedures, and the election of executives or directors

How will records be preserved and managed?

How will disagreements be resolved?

How will bylaws be added/modified in the future?

The annual shareholder meeting date

Contract Negotiation Techniques

Fiduciary responsibilities to the company (i.e. acting in the best interests of the corporation)

What is a quorum for voting purposes?

What exactly is a quorum? A quorum is the minimal number of members who must be present at a meeting in order for the meeting’s actions, including any votes, to be legitimate.

Appoint the First Directors

At least one director must be appointed to monitor your Arizona company until the first shareholder meeting.

A corporate director is in charge of operational bylaw adoption, modification, and repeal, as well as the election, monitoring, and removal of officers.

After the company is formed, the first director(s) specified on the formation papers should convene an organisational meeting. They will elect the officers at this inaugural meeting.

Selecting a Share Structure and Strategy

A share of stock is a corporation’s unit of ownership. Each share of stock reflects a proportion of the company’s ownership. If a business issues one share of stock, the shareholder (stock owner) owns 100% of the corporation.

Shares may be divided into classes. Each class, known as a share class, has unique rights and advantages. There may be several classes, and each class can have an unlimited number of shares.

The Articles of Incorporation form in Arizona enables you to specify whether the company will issue more than one approved share class or series.

NOTE: We suggest that you begin with a large number of authorised shares. Many lawyers advocate for a million dollars. Starting with a large number allows you to issue shares as required without incurring legal expenses to enhance your original permitted share size.

Make and implement an Incorporator’s Statement

The incorporator(s) shall sign and preserve an Incorporator’s Statement with the full names and addresses of all initial directors in the corporate records book.

This document identifies the first director(s) who will serve until the board of directors is chosen at the first shareholder meeting. It should be kept with the rest of your company’s records.

Step 4: Submit your Arizona Articles of Incorporation.

To establish a company in Arizona, you must submit the Arizona Articles of Incorporation. The Articles of Incorporation are the legal documents that establish your Arizona company. You may submit electronically using the Arizona Corporation Commission’s eCorp website, by mail, or by fax.

The fee for filing is $60. Before you may use the online services portal, you must first register an account for your company. After you’ve created an account and logged in, go to the “Online Services” menu and pick “Start a New Business.”

This paper will address the fundamentals of your company, such as:

Name and address of the corporation

Name and address of the corporate statutory agent

The number of authorised shares that a business may issue

Names and addresses of corporate officers and directors

Include the name(s) of the incorporator(s) and the street address (es)

Step 5 Get an EIN for Your Arizona Corporation

What exactly is an EIN? The federal government uses an Employer Identification Number (EIN) or Federal Tax Identification Number (FTIN) to identify a company organisation. It is effectively the company’s social security number.

Why do I need an EIN? An EIN is necessary for the following activities:

To establish a commercial bank account for the firm

In terms of federal and state taxation

To recruit workers for the firm

How can I get an EIN? After founding the firm, the business owner obtains an EIN from the IRS (free of charge). This may be done online or in the mail.