Form a C Corporation in Louisiana

Naming the Louisiana C corporation

Picking a name is an essential first step for any new incorporations. This name will be your first impression on the public, so it should accurately describe your company and your products or services. The name must also be unique from other businesses in Louisiana to prevent future legal complications. Finally, your business name must include identifiers like “corporation” or “inc.” 

You can reserve a name for 60 days for a small fee of $25.

Designating a registered agent

A Louisiana registered agent will receive and forward legal documents to the business owner. Your agent must be available during business hours and live in Louisiana. This agent can be yourself, a friend, a professional, or anyone meeting the requirements mentioned. We recommend hiring a professional registered agent for legal safety reasons.

Drafting and filing Articles of Incorporation

You must file your Articles of Incorporation with the Louisiana Secretary of State to start your corporation officially. Ensure you include essential information in this document, including the corporation name, purpose, and incorporator’s names. 

Filing your Articles of Incorporation costs $100.

Establishing corporate bylaws

Although you don’t need to file them with the state, corporate bylaws are essential to draft and adopt. These bylaws provide an operating guide for your corporation and define how to make business decisions, members’ responsibilities, and information about the company’s stock. Forming these bylaws to help the business run smoothly is highly recommended.

Hold the first organizational meeting

Once you draft your bylaws, you must discuss them with your board of directors before implementing them. When all board members agree and sign off on the bylaws, they can be implemented into the company.

You should also distribute any company stocks to shareholders during this meeting. Distributing stock is equivalent to distributing power over the company. The more stock an individual has in a company, the stronger their input is in corporate decisions. 

Get your EIN

Employer Identification Numbers (EINs) are necessary for essential business activities like payroll and opening business-specific bank accounts. All small business owners should apply for their EIN with the IRS.

Acquire business licenses

Specific industries or locations may require their businesses to obtain certain licenses or permits. For example, a veterinarian’s office may need a Controlled Substances Registration license to handle and administer drugs to patients.

Be sure to check with the Louisiana Secretary of State for more information on licenses you may need for your business.

File your first annual report

An annual report helps keep the government up-to-date on your business’s information and activities. This report will be due on the anniversary of your business’s formation. Filing an annual report for a C corporation in Louisiana costs $30 and can be done online or via mail.

• Limited liability protection: A significant benefit of incorporating your C corp in Louisiana is the protection of shareholders’ assets. The owners’ assets will be safe if the company faces lawsuits or debts.
• Stock trading and selling: Louisiana C corporations may find raising additional capital easier than other business structures since they can issue and sell stock. Another benefit of distributing stock is a simple transfer of ownership. Current owners can simply sell or transfer their stock to another individual to give them ownership.
• Tax benefits: C corps in Louisiana can benefit from lower corporate tax rates that help when saving money. Additionally, Louisiana offers a variety of tax incentives like the Enterprise Zone Program to help further reduce tax costs.

• Owner benefits: The owners operating within Louisiana C corporations are considered employees. Being an employee makes them eligible for many fringe benefits like group insurance, retirement, and profit-sharing plans.
• Better public perception: C corporations are government-recognized businesses, making them more trustworthy in the eyes of the public. This additional trust makes it easier for them to find willing partners and investors to fund the company’s growth.