The advantages of starting a business in Wyoming created a friendly climate for entrepreneurs and new business owners who are willing to form an LLC or C-Corporations. Whether you are trying to choose the most suitable entity type for your business or you have already decided to form a C-Corp, let’s step through some general characteristics of a Wyoming C-Corp.
Filing
A C-Corp is formed by filing a document referred to as Certificate of Incorporation. This form is also called Articles of Incorporation. After you choose a name for your C-Corp, Clemta can help you with the filing process.
Ownership
Non-US citizens can form C-Corp, there are no restrictions on ownership. If you live outside of the US and even if you have never been to the US, you can still own a company as a C-Corp in the state of Wyoming. Also, C Corporation ownership is transferred by selling shares of the corporation’s stock.
Shareholders
You may have an unlimited number of shareholders, there is no limit on the number of shareholders a corporation taxed. Also, C-Corps operating in Wyoming offer the highest degree of personal liability protection of their shareholders.
Stock
C Corporations may issue more than one class of stock and may have multiple classes of stock.
Administration of Wyoming C-Corp
C Corporations must comply with state requirements regarding the organization and operation. Clemta can help with the post-incorporation process which is a very important part of the company forming system in the US.
Fiscal Year of a Wyoming C-Corp
C-Corps may choose when their fiscal year ends and may use any fiscal year.
Capital Accumulation
It is easier for a C-Corp to obtain equity financing than other business entities since the corporate tax rate is typically lower than an individual’s tax rate. So, there are more options for raising capital within a C-Corp.
Taxation of Wyoming C-Corp
The corporate tax rate is lower than the maximum personal tax rate within a C-Corp formed in Wyoming. A C-Corporation reports and pays federal income tax on its profits. Losses are not passed through to members of C-Corp and liabilities are not increased.
