How to form a C-corporation for Pharmaceuticals


If you’re a pharmaceutical manufacturer, you might want to form a C corporation for your business. A C corporation is one of the two primary types of business entities available in the United States. A C corporation is formed under state law by filing articles of incorporation with the Secretary of State where you’ll be operating. Once your new company is registered as an S-Corp, it will have its own separate legal existence from its owners (shareholders).

Determine your business purpose

What is the purpose of your business? What are you going to do? How will you do it? Who are you going to do it for? Who are you going to do it with? Why do you want to start this particular business, and how does that fit into the bigger picture of what it means for people in general?

Choose a name for your business

A good name for your corporation should be easy to spell, pronounce and remember. It should suggest the nature of the business and avoid any potential misunderstandings about its products or services.

Use your legal name or a name that sounds similar but is not exactly the same as your own personal name. If it is necessary to use “Inc.,” “Ltd.,” “Corp.” or their abbreviations in conjunction with another word.

Choose a registered agent

A registered agent is a person or company that agrees to accept official legal documents and filings on behalf of a corporation. Your choice of registered agent should be someone who has an interest in maintaining your corporate status, such as an employee or attorney. For example, if you’re interested in forming a C-corporation for your pharmaceutical business, it would make sense for this individual or company to be someone who could represent yourself during any legal proceedings related to your company’s assets.

You can find registered agents online; there are many websites dedicated solely to providing this service at reasonable rates.

File articles of incorporation

The first step in forming your corporation is to file the articles of incorporation with the Secretary of State where you’ll be operating. The form varies by state, but it will require information such as:

  • Name and location of your business
  • The purpose for which it was created (to manufacture pharmaceuticals)
  • Principal office address, including street address, city, and zip code

Draft corporate bylaws

They’ll outline the purpose of your business, how it’s governed and what it can and cannot do.

You’ll want to define the roles and responsibilities of all parties involved, including:

  • Board members (and their term lengths)
  • Officers (and their duties)
  • Shareholders (and their rights)

Appoint corporate directors and officers

Corporate directors and officers are the people who run your company. They’re responsible for the business and its management, including hiring employees and making decisions regarding how a company should operate. When you form a C-corporation, you appoint directors to the board of directors, who then appoint officers.

For example, if you want to be the director of your own pharmaceutical company, go ahead! There’s no reason why you can’t be both CEO (chief executive officer) and president (presidential candidate). If one of your associates wants to become COO (chief operating officer), let them! Or if another associate has dreams of becoming CFO (chief financial officer), encourage them! The world is their oyster!

Hold an organizational meeting

This meeting is the first step in getting your company off the ground, and it’s also a good time to discuss any issues that might arise later on. Organizational meetings are held in person or via telephone conference call, but they can be held at any time after formation begins.

Obtain an employer identification number (EIN)

It’s used to identify your business and allows you to open a bank account, pay taxes, and more.

If you’re going to form an LLC or corporation for your company, then you’ll need an EIN before doing anything else. There are several ways to obtain one:

  • Call the IRS directly and they’ll walk you through the process over the phone or go online on their website.

Open a company bank account and get a credit card

This is because you will have to make purchases for your company using these accounts. The good news is that many banks offer free business checking accounts with no minimum balance requirements and no annual fees, so you can get started on the cheap.


The key takeaway from this article is to make sure you have all the right paperwork. You’ll also want to make sure you’ve thought through how you will get paid and how your product will reach the market.


After completing these steps, your corporation is ready to go. You can now get started on the business of making money!

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