How to form an S-corporation for Beers and Beverages

Introduction

If you’re looking to start a business in the beer and beverage industry, forming an S-corporation is one of the best options available. An S-corporation provides many tax advantages over other types of entities, such as partnerships and sole proprietorships. In this article, we’ll explain how to form an S-corporation for beer and beverages so that you can take advantage of all those benefits!

Step 1: Choose a business name

The first step to forming an S-corporation is to choose a name for your business that is not likely to be confused with another existing business, product or service. You will also want to make sure your name does not include the name of another government agency.

Here are some things you should keep in mind when choosing your company’s name:

• Try not to pick a name that is identical or similar to any other business entity in your state. If you do this and someone else owns an S-corporation with the same name, then they may be able to file lawsuits against you claiming trademark infringement.
• Avoid using verbs when naming your company because they can be interpreted as describing how companies operate (i.e., “provides,” “performs”).

Step 2: Choose a registered agent for your S-corporation

In the case of an S-corporation, you must use someone located in your state. This person is called a registered agent for service of process, which means he or she will accept court documents (such as summonses) if the corporation is sued.

The registered agent can be an individual or corporation who has agreed to do this service. The registered agent must be available during regular business hours, and they must have a physical address and telephone number where they receive mail so that any legal papers can be properly served on them.

Step 3: File articles of incorporation with the state

The articles of incorporation are the legal document that creates an S corporation, and this must be filed with your state’s secretary of state or equivalent office for businesses. The filing fee will vary from state to state, but it’s typically less than $100.

The articles should include:

• The name of your business
• Its purpose (for example, manufacturing beer)
• The names and addresses of the initial directors

Step 4: Create corporate bylaws

• The bylaws are filed with the state, and they need to be signed by both the board of directors and the stockholders. If you don’t file your bylaws with the secretary of state, you can’t do business in your state.

Step 5: Hold an organizational meeting of the board of directors and stockholders

At this meeting, you will:

• Decide on your company’s name
• Elect directors (if more than one person will be a director) and set the initial terms for their terms of office.
• Appoint officers for your corporation, such as president or treasurer. Remember that officers must be natural persons who have reached the age of majority in their state or country. You can also choose to hire outside professionals as well such as accountants and lawyers to take care some duties on behalf of your business like preparing records or advising on legal matters.

Step 6: File an IRS Form 2553 to elect S-Corporation tax status

Form 2553 is the form you use to file your corporation as an S-corporation. It can be downloaded from the IRS website or you can request a copy from your tax preparer. If you are self-employed, you will have to file it yourself. The good news is that filing this form is simple and straightforward, making it easy for anyone who has prepared tax returns before to do it on their own.

Once you’ve filed the form with the IRS, they will review it and let you know if there are any errors or missing information on your end. Once everything checks out, they will send back a notice of approval in about 30 days confirming that your corporation has been designated as an S-corporation for tax purposes.

The important thing here is that once this process concludes successfully and your company becomes officially registered as an S-Corporation, this designation cannot be changed—so make sure it’s what makes sense for both short and long-term goals!

Step 7: Register your S-Corporation with your city or county tax assessor

You will need to register with the city or county tax assessor within 30 days of incorporation. The fee varies by city or county and can be between $100 and $300.

Conclusion

Forming an S corporation is a great way to protect your personal assets from business losses, and it can also help you save on taxes. If you’re looking for more information about how to form an S corporation, we recommend checking our website for further assistance and guidelines contacting a tax professional.