If you operate your business as a sole proprietorship and you want to incorporate, your first step is to file incorporation documents.1

But this step alone does not transform your business into a corporation.

When you file incorporation documents, you create an empty corporation. Meanwhile, your business continues operating as a sole proprietorship, just as it always has.

To move your business into the corporate shell, you have to formally transfer the assets to the corporation in exchange for stock.

But you don’t have ... Log in to view full article.