With our 5-step process, forming a company in Ohio 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 Ohio.
In Ohio, it is simple to form a corporation.
In Ohio, you may form a company by submitting the Certificate of Incorporation, drafting corporate bylaws, and naming your first director (s).
Are you unsure if a company is suitable for you? Check out our LLC vs. Corporation comparison to help you decide.
Table of Contents
To get started, follow the steps in our How to Start a Corporation in Ohio tutorial below:
Step 1: Give Your Company a Name
Step 2: Select a Registered Agent.
Step 3 Hold an Organizational Meeting
Step 4: Submit your Articles of Incorporation.
Step 5: Obtain an EIN
Step 1: Give Your Ohio 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 Ohio company naming regulations.
1. Ohio naming conventions:
The words “corporation,” “business,” or “incorporated,” 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. This lists reserved names in Ohio.
Your name cannot indicate that the company is affiliated with an Ohio, another state, or federal government entity.
Without prior consent from the superintendent of financial institutions, your name cannot contain the terms bank, banker, banking, trust, or words of comparable meaning in any other language.
Unless the company is registered as a cooperative, your name cannot include the words cooperative, coop, co-operative, or co-op.
Your name cannot include profanity or terms or phrases that are often regarded slurs towards an ethnic group, religion, gender, or heredity.
2. Is my business name accessible in Ohio?
Your Ohio company name must be distinct and distinct from existing Ohio business names. To see whether your selected company name is available, use the Ohio Secretary of State’s Business Search Portal.
Visit our How to Name a Business guide and pick Ohio from the drop-down box for further information on Ohio corporation name searches.
3. Is the URL accessible?
Before you register your Ohio company, check to see whether an appropriate URL for your selected 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 Ohio.
When you form your company with the Secretary of State, you must designate an Ohio 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 Ohio 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).
Having someone else act as your LLC or corporation’s registered agent offers advantages.
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.
The First Directors
At least one director must be appointed to monitor your Ohio 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.
Following the incorporation of the company, the incorporator(s) β or initial director(s), if listed on the formation papers β shall convene an organisational meeting. During this inaugural meeting, either the incorporator(s) or the initial director(s) will elect the board of directors.
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 supplied by the Ohio Secretary of State may only be used to incorporate a company with one share class: common stock or preferred stock. If the company requires a multiple share class structure, an attachment to the Articles of Incorporation form must be included
Preferred Stock vs. Common Stock
Preferred stock does not offer its shareholders voting rights, although common stock does. Preferred shareholders are compensated before regular stockholders when it comes to corporate assets.
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.
The first director(s) named in this agreement 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 the Articles of Incorporation to the State of Ohio.
To form a company in Ohio, you must submit the Ohio Articles of Incorporation. The Articles of Incorporation are the legal documents that establish your Ohio company. You may submit it with the Ohio Secretary of State either by mail or online. The filing fee is $99 USD.
This paper will address the fundamentals of your company, such as:
Name and address of the corporation
Name, signature, and postal address of the corporate registered agent
The number of authorised shares that a company may issue.
Initial declared capital
Name(s), signature(s), and incorporator(s) (s)
The Articles of Incorporation form supplied by the Ohio Secretary of State may only be used to incorporate a company with one share class: common stock or preferred stock. If the company requires a multiple share class structure, an attachment to the Articles of Incorporation form must be included.
Preferred stock does not offer its shareholders voting rights, although common stock does. Preferred shareholders are compensated before regular stockholders when it comes to corporate assets.
Step 5 Get an EIN for Your Ohio 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.