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Incorporate in Michigan

Why should you set up a company in Michigan? A report published in the Bridge Magazine suggests that Michigan’s economy has been climbing faster than the economy of the nation since 2009. So, what has been driving the economy of the state? The economy of West Michigan relies heavily on manufacturing, engineering and biopharmaceuticals. Some of the other industry sectors responsible for the growing economy include automobiles, information technology, food products, aerospace, furniture, military equipment, and mining of copper as well as iron ore.

Why Choose Michigan for Incorporation?

Michigan is home to a variety of industries, which are not only growing at a rapid stage but also enabling a positive economy in the state. The manufacturing industry is at the top of the list and its real value to the Michigan GDP is $86.91 billion. The second largest industries with $74.84 billion in real value to the Michigan GDP include finance, insurance, real estate, rental, and leasing. In the last decade or so, the number of small and medium sized businesses that have undergone incorporation in Michigan has also increased.

Now let’s take a look at some of the reasons for growth of small businesses in this state:

  • Michigan Opportunity Zones: The Opportunity Zone program has been designed to ensure that businesses derive incentives on capital investments made in the low-income communities. There are three types of tax incentives that businesses can benefit from once they set up a company in Michigan opportunity zone. You can check the list of opportunity zones in Michigan.
  • Industrial Facilities Tax Exemption: One of the advantages of incorporation in Michigan is that you can avail of different tax incentives especially if you are in the manufacturing industry. The Industrial Facilities Exemption is also known as the Plant Rehabilitation and Industrial Development Districts Act and its aim is to provide tax incentive to manufacturers so that they can assist in the building of new state of the art industrial facilities. Check Application

How do you incorporate in Michigan?

What is the process of incorporation in Michigan? What type of documentation is required? These are some of the common questions that you will be confronted with if you are planning to start a new business in the state. The following steps will enable you understand the entire process:

Business Type

The first step towards incorporation in Michigan is choosing the type of business you want to form. You can choose to form an LLC or a Corporation or even a limited partnership and limited liability partnership. The type of business entity you want to form can be a domestic or foreign entity. The forms and fee will be different for each type of entity.

Business Entity Name

One of the most important steps towards incorporation in Michigan is identifying a name for the business entity. You have to start by searching, reserving, and then registering the business entity name. There are 3 steps towards business name formation and they are:

  • Naming Requirements: The naming requirements for LLC should be pursuant to MI Comp L § 450.4205 (2014), while that of a business corporation should be pursuant to MI Comp L § 450.1211 (2014). 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, it is advisable to reserve the name by filing an application with Michigan Department of Licensing and Regulatory Affairs pursuant to MI Comp L § 450.1215 (2014). Name reservations are valid for six months.

Choose a Registered Agent

A domestic business entity as well as a foreign entity authorized to transact business in the state of Michigan will have to maintain a registered agent pursuant to MI Comp L § 450.4208 (2014)-LLC and MI Comp L § 450.1241 (2014)-Corporation. We are one of the respected registered agents in Michigan and will be responsible for initiating incorporation in Michigan through processing of your “Articles of Incorporation” for domestic corporations and “Certificate of Authority” for foreign corporations.

Articles of Incorporation and Certificate of Authority

You will be required to submit “Articles of Incorporation” if your business is a domestic corporation and a “Certificate of Authority” if it is a foreign business entity. In order to streamline the process of incorporation in Michigan, 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 Michigan, 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 Michigan Incorporation

What would it cost to set up company in Michigan? Check Fees here!

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