What types of legal procedures should corporations maintain?
Once incorporators establish a new business, the directors must ensure that it retains its legal status. Depending on the business form, certain legal formalities must be followed for this purpose. Once incorporated, an ongoing business’s obligations include: Obtaining federal and state tax identification numbers for the business and filing needed tax returns annually; Issuing shares of stock as mandated by the articles of incorporation and federal securities law; Establishing and maintaining corporate books and records, including accounting ledgers, shareholder records, and corporate minutes; Calling and conducting an initial meeting of the board of directors or shareholders, as required in the articles of incorporation; Holding future meetings at least as often as required by applicable business laws; Conforming all decisions and internal procedures set forth by the articles of incorporation; Recording all actions and decisions of the board of directors in the corporate minutes; and
