Don’t Wait: The Top Year-End Legal Decisions You Should Make Now

This is a guest post from Nellie Akalp from CorpNet.com.

When it comes to some business decisions, waiting until the new year is too late.
 
Here are three things you should do for your business before the calendar hits 2012.

1. Incorporate your business before 2012

If you started a new business in 2011 and still haven’t gotten around to incorporating or forming an LLC, you might want to get started before 2012.

Many business owners wait until January 1 to incorporate or form their LLC. However, January is the absolute busiest time of the year at your secretary of state’s office and waiting to file until January puts you at the mercy of whatever backlog exists.

There’s another option and that’s selecting a ‘Delayed Filing’ with a document filing company.

With this option, you can get all your paperwork submitted now, and it will be held and filed on the first business day of 2011 where you’ll be at the front of the line.

2. Close any inactive businesses before 2012

Did you start a venture a few years ago, but your focus has since turned elsewhere…maybe to your day job or to a new business?

Even if you’re not actively promoting the business, you still need to file a formal termination of that LLC or Corporation.

Otherwise, you can still be charged fees associated with the business and need to submit tax returns to the IRS and state.

Before 2012, you should file “Articles of Dissolution” or “Certificate of Termination” document with the Secretary of State within the state that your Corporation or LLC was formed.

In most cases, you’ll need to settle any owed taxes before you can do this. Make sure to take care of these matters while it’s still 2011. There’s simply no reason to pay an extra cent in fees toward a business you know you’re retiring. Put that money towards your next venture instead!

3. Tie up any legal loose ends before 2012

This is a perfect opportunity to tie up any loose ends you’ve been putting off.

For example, did you file a DBA (Doing Business As) for your business name? Did you get a Tax ID number? Are all your licenses and permits in order?

No matter how busy you get, set aside some time to address your administrative obligations.

Taking care of certain issues in 2011 can save you money in fees moving forward. And it’s always nice to cross a few more things off your list to start fresh in the New Year.

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Nellie Akalp

CEO of Corpnet.com at Corpnet
Nellie Akalp is a serial entrepreneur and small business expert. She currently serves as the CEO ofCORPNET.COM, an online legal document filing service, where she helps entrepreneurs START A BUSINESS, INCORPORATE, FORM AN LLC, and offers free BUSINESS COMPLIANCE TOOLS.
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