There are five basic business structures: sole proprietorships, general partnerships, corporations, limited liability company (LLC) and S-corporations. Read more about them and get the forms mentioned below from Business Link North Carolina, at edpnc.com/start-or-grow-a-business/start-a-business/business-structure/.
- A sole proprietorship is basically an extension of its owner’s personal finances, so starting one does not require filing any paperwork.
- Starting a general partnership requires a partnership agreement. The agreement should be in writing, and each partner should have a copy. This document does not need to be filed with a government agency.
- To start a corporation (C-corporation), file Articles of Incorporation.
- To start a limited liability company, file Articles of Organization.
- An S-corporation is created as a C-corporation, and then converted into an S-corporation using IRS Form 2553, Election by a Small Business Corporation.
File these forms with the Business Registration Division of the NC Department of the Secretary of State, at www.sosnc.gov/divisions/business_registration. They can also be reached by phone at (919) 814-5400.