When filling out the Pennsylvania Articles of Incorporation form, many individuals encounter common pitfalls that can delay the incorporation process. One frequent mistake is providing incorrect or incomplete information. For example, failing to include the name of the corporation or using a name that is already taken can lead to rejection of the application. It is essential to conduct a thorough name search before submission to ensure the chosen name complies with state regulations.
Another common error involves the designation of the corporation's registered office. Some applicants forget to include a physical address, while others mistakenly use a P.O. Box. The registered office must be a physical location within Pennsylvania where legal documents can be served. This requirement is critical, as it ensures that the corporation can be reached for legal matters.
Many individuals also overlook the importance of the corporate purpose. The Articles of Incorporation form requires a clear statement outlining the nature of the business. A vague or overly broad description can lead to confusion and may not meet the state’s requirements. It’s best to be specific about the business activities to avoid complications down the line.
Additionally, failing to include the correct number of shares the corporation is authorized to issue is a mistake that can complicate future business dealings. Applicants sometimes either leave this section blank or enter an unrealistic number. It is crucial to determine the appropriate number of shares based on the business plan and future growth expectations.
Another area where mistakes often occur is in the selection of the incorporators. Some people mistakenly think they can list anyone as an incorporator, but there are specific requirements. Generally, at least one incorporator must be a person (not an entity) and at least 18 years old. Ensuring that the incorporators meet these criteria is vital for the validity of the incorporation.
Finally, individuals may neglect to sign and date the Articles of Incorporation. This oversight can result in delays, as the state will not process forms that are not properly signed. Taking the time to review the document for signatures and dates can save a lot of time and frustration.