If you are planning to set up company in Iowa, you need to ask yourself: Will my business grow here? Iowa is one of the few states that provide a good business climate. In the past, surveys have been carried out by Forbes, NBC News, MarketWatch, and USA Today and they all revealed that the state has a highly trained and committed workforce, and provides significant tax advantages as well as business incentives. Some of the top companies headquartered in Iowa include A.Y. McDonald Manufacturing Company, Casey’s General Stores, Inc., Dubuque Bank & Trust, Fareway Stores, Inc., MediRevv, and Athene Holding among others.
Why Choose Iowa for Incorporation?
The state of Iowa and federal agencies provide assistance for business entities in the form of grants and a variety of lending programs. Business incorporation in Iowa will not only aid in the overall growth of your business but will also provide various incentive programs.
Now let’s take a look at some of the salient benefits that are the reasons why small businesses are growing.
Iowa Business Tax Incentives
Iowa state and counties provide new startups with a variety of business tax incentives. Some of the popular incentives include:
- High Quality Jobs (HQJ) program: Company incorporation in Iowa enables businesses to qualify for this program. The aim of the program is to provide assistance in off-setting the costs incurred while expanding business, locating, or modernizing an Iowa business or facility. This includes Local property tax exemption of almost 100% of the value added to a property.
- Redevelopment Tax Credit Program: If you set up a company in Iowa that is into property development then this program is just ideal for you. The program aims towards providing tax credits for redeveloping those properties that are known as grayfield and brownfield sites.
Business entities can leverage on various tax advantages applicable after company incorporation in Iowa. For example:
- Tax assessment is not applicable on personal property and this includes corporate inventories of raw materials or saleable goods.
- There is no sales tax on purchase of natural gas or electricity to be used in the manufacturing process
- There is no use or sales tax on industrial equipment, machinery, or computers.
How do you incorporate in Iowa?
What is the process of business incorporation in Iowa? What type of documentation is required? These are some of the common questions that you will be confronted with if you planning to establish a new business in the state. The following steps will enable understanding of the entire process:
What type of business do you want to set up in Iowa? There are different types of businesses that can be set up in Iowa using proper documentation. You can choose to form Co-operative Corporations, Limited Partnership, Professional Corporations, Limited Liability Companies (LLC), Limited Liability Partnerships (LLP), and Non-profit Corporation. The type of business entity you want to form can be either domestic or foreign. The forms and fee will be different for each type of entity. Know more
Business Entity Name
If you have already identified the type of business you want to set up then the next step towards incorporation in Iowa is to identify a name for your business entity. There are 3 steps towards business name formation and they are:
- Naming Requirements: The naming requirements for LLC should be pursuant to IA Code § 489.108 while that of a business corporation should be pursuant to IA Code § 490.401. The name of each limited liability company must contain words like “Limited Liability Company” or abbreviations like “L.L.C.” or “LLC”. A corporate name must contain words like “corporation”, or “incorporated” or abbreviations like “corp.” or “inc.”
- Business name search: You need to search for a business name that is not in use currently. You can conduct name search here.
- Name Reservation: Once you have identified business entity name, you can reserve the name with the Secretary of State for a period of 120 days.
- Name Registration: If you are a foreign entity planning to set up a company in Indiana then you will be required to register your business name with the Secretary of State.
Application for Registration of Corporate Name
Choose a Registered Agent
A domestic business entity as well as foreign entity authorized to transact business in the state of Iowa will have to maintain a registered agent pursuant to IA Code § 490.501 for corporations and IA Code § 489.113 for limited liability companies. We are one of the respected registered agents in Iowa and will be responsible for initiating incorporation in Iowa through processing of your “Articles of Incorporation” for domestic corporations and “Application for Certificate of Authority” for foreign corporations.
Articles of Incorporation and Application for Certificate of Authority
You will be required to submit “Articles of Incorporation” governed by IA Code § 490.131 through 490.134 if your business is a domestic corporation and an ” Application for Certificate of Authority” pursuant to IA Code § 490.1501 through 490.1503, if it is a foreign business entity. In order to streamline the process of incorporation in Iowa, we can file documents on your behalf through the online process or through an expedited process.
Date Stamped Copies
As a part of the process of company incorporation in Iowa, we will ensure, you receive date-stamped and filed copies that verifies the state has filed as well as formed your corporation.
Costs and Fees associated with Iowa Incorporation
What would it cost to set up company in Iowa? Check Fees here!