Most states are always looking for new ways to promote business and commerce within their borders. These states often offer incentives to bring in new businesses and help them get a start. Business law in Idaho offers a number of unique advantages to businesses that start up in or move their location to Idaho.
Starting up a business under business law in Idaho is a multi-step process. The first step is choosing the type of ownership that a business will have.
Sole Proprietorship
The first option is sole proprietorship. This type of business is owned by a single person, and takes on a new name other than that person's proper name. In order to start this type of business under business law in Idaho, a business owner must file a Certificate of Assumed Business Name and pay a $25 fee.
Partnership and Limited Liability Partnership
The next option is partnership, a business with two or more owners. Like sole proprietorships, people starting this type of business must file a Certificate of Assumed Business Name unless the business uses the full name of all involved owners. The fee remains $25. Another possibility is a limited liability partnership, which limits the liability of one more of the partners involved should the business run into financial problems. A limited liability partnership is formed from a normal partnership by filling out an additional form and paying a fee of $100.
Limited Liability Company
Another choice for establishing a business under business law in Idaho is a limited liability company. These establishments have the tax attributes of a partnership, but the liability limitations of a corporation. More information on limited liability corporations is available from the Idaho Secretary of State's office. Limited liability companies may be subject to the same securities laws as corporations.
Corporation
A final option is to establish a corporation. In order to this, business owners must submit Articles of Incorporation and pay a $100 fee, or $30 if they are a non-profit corporation. Before a corporation can offer stock to the public, they must contact the Idaho Department of Finance and the United States Securities and Exchange Commission.
If you have an idea for a business but are not yet ready to file the appropriate forms, business law in Idaho allows you to submit in writing the name you wish to reserve for your business. For a $20 fee, your business name will be reserved for four months.
