Although it isn’t compulsory to register a business with the state or local government to complete business transactions, businesses are incentivised to do so to reap the benefits on offer.
What are the benefits you ask? Well, as a rule of thumb, registering your business in any state does make it easier to establish business bank accounts, acquire loans, and hire employees.
On top of that some States in America offer incentives to attract business registrations including flexible laws and favourable tax obligations. But, (yes there’s always a ‘but’), a business owner must be careful when choosing a where to incorporate his/her business. For example, Delaware’s business law is considered the most flexible in America as the Court of Chancery only focuses on business law, using judges instead of juries. In addition to that, the stock shares owned by a business person outside of Delaware are not subjected to Delaware taxes. However if you transact business elsewhere – i.e. in another state, then you need to foreign qualify your business in that particular state, so it’s very much ‘caveat emptor’ (buyer beware).
The good news is business registrations and trade names can be searched in real time so you can first choose a business name that’s not already in use. More granular searches can take place too so here are the top 3 tips to researching businesses and which state they’re registered in:
Tip 1: How to find out about private companies
Private companies are, well, private. Therefore, obtaining information on private companies can prove to an arduous task. Fortunately, there are search engines and software that are committed to providing accurate, detailed information on private companies. Some of these helpful software and search engine include PrivCo, Hoover´s Online Pro, S&P Global NetAdvantage, ReferenceUSA, and LexisNexis Academic etc. Hence, if you want to find information on a private business and know what state that particular business is registered in, you should consider using the facilities provided by the aforementioned software and search engine options.
Tip 2: Koloden Search By State
The benefits of using the Koloden online search are many. Using it may prove to be invaluable for your business especially startups for due diligence and also marketing and sales. When researching what state a business is registered in, the site provides details about the state of incorporation for any business in America. You can also view the copies of the articles of incorporation in the office of the secretary of state where the business is formed. Additionally, Koloden online search also gives you access to a business’s corporate reports, reference books and commercial reports etc. You should check this site, https://www.koloden.com/business-search.html to see how it can assist your business and future enterprises.
Tip 3: Check out these books!
Although there is a wealth of information available online, you shouldn’t overlook the usefulness of published books on the subject matter. We would recommend you to check the book, ¨ The Directory of Corporate published by Reed Reference; the book has detailed information on 8,000 privately owned firms. And, if you want further tips on how to research what state a business is registered in, you should consider picking up the book, ¨How to Find Information About Private Companies,¨ from your public library. The book is published by Washington Researchers.
In summary, do your due diligence before registering your business in a particular State. While it’s tough going you can never know too much about business law and taxes so read books, do online searches, seek advice from the professionals so your business is off to a good start.