As a smaller or new business, it’s important you know the benefits and growth opportunities that are available once you choose to become incorporated. CBM Associate, Michael Dupuis, shares how incorporating will improve your business’s growth opportunities.
An important reason for incorporating your business is actually related to the growth opportunities that it offers. As a corporation, if you have structures in place, incorporating allows ways to bring more people in. As you grow, you can sell shares to people either as part of your own personal tax planning, or to bring investors in as well.
Incorporating is often required by lenders, banks, and credit unions, meaning they want to see that your business is incorporated before they lend to you. Sometimes incorporating is not just a benefit but is in fact required.
Additionally, it shouldn’t be overlooked that being a corporation does often enhance your business’s reputation as a whole. Being incorporated is often seen as an evolution of your business, going from something small and new to something big and established. That sends a signal to the people around you that you mean business and you’re here to stay.
If you have questions about how to incorporate, our Business Law Team can assist in helping you make the most informed decisions for your business.