The primary step when starting a business in Nebraska is to choose a valid business name for your Corporation. There are statutory requirements that determine the validity of a business name.
As per state requirement, any of the following must be included in your Corporation name: ‘Incorporated’, ‘Corporation’, ‘Company’, ‘Limited’, or any of its abbreviations including ‘Inc.’, ‘Corp.’, ‘Co.’, or ‘Ltd.’.
In addition, any foreign words that correspond to the same meaning as those listed above can also be used. Most importantly, the name you selected must be unique and it should be distinguishable enough from business entities registered with the Nebraska Secretary of State.
When a name has been chosen, you can check if it’s valid through the Nebraska business name search tool. You can then file an Application for Name Reservation for 120 days with the Nebraska Secretary of State. The application should be submitted via postal mail along with the $25 filing fee.
When filing a Corporation in Nebraska, you need to submit an Articles of Incorporation form to the Secretary of State. Unlike other states in the country that provide a fillable form available for download, there isn’t one for Nebraska. With this said, you have to create your own form when incorporating in Nebraska.
The following standard information is required: name and address of the Corporation, name and complete physical address of the Registered Agent, name and address of each incorporator, and the number of authorized shares for issuance.
For reference on what to include in the form, this link on selected statutes for business filings should prove useful. The form can be submitted for an online application or through postal mail.
Filing fee: starts at $60 for Corporations that has $10,000 authorized stocks and $300 for over $100,000 stocks. Subsequently, when it exceeds the $100,000 limit, $3 is added to every $1,000 authorized stocks.
As part of the requirements for compliance when incorporating, a Nebraska Registered Agent should be hired. The Registered Agent can be an individual resident of Nebraska or any business entity registered to operate within the state.
A physical street address in Nebraska should also be provided by the Registered Agent. Prior to the actual designation of the position, the Registered Agent in Nebraska should agree to accept service of process on behalf of your business.
For quick compliance on this requirement, Rocket Lawyer has competent and reliable Registered Agents you can hire.
To keep all your paperwork and files well organized, you can maintain a Corporate Records Book. From your Nebraska Corporation registration documents, minutes of the meeting, Operating Agreement, to corporate bylaws, everything should be kept in this folder.
The easiest way to obtain a Corporate Records Book is to order via Amazon or to purchase one at the local supply store.
As part of the requirements when forming a Corporation in Nebraska, you are to elect a certain number of initial directors.
This is vital so you can immediately schedule an organization meeting. After you have elected your Nebraska Corporation directors, make sure to create an Incorporator’s Statement where the name and addresses of each director are included.
With the elected initial directors and the incorporators, an initial meeting should be set up when starting a Nebraska Corporation. During this meeting, the following agenda will be discussed:
The minutes of the meeting should also be prepared to be signed by all the participants.
As part of the requirements to a business startup and for Nebraska Corporation maintenance, the following steps should be taken to fulfill tax obligations:
In tandem with your business tax obligations, you must also acquire the requisite Nebraska business licenses and permits to legally operate your business. Doing so will ensure that you remain in good standing with the state without any penalties and fines.
You can begin completing the requirements for business licenses with the help of our Nebraska Business Licenses and Regulations guide.
The next step to starting a Nebraska business is to start a separate bank account. This is important because you will be able to keep your personal and business finances separate in the eyes of the law.
Plus, when tax time rolls around, you will be able to organize your obligations and handle everything with minimal stress. For the best business bank accounts, check out this roundup.
Now that you have followed the steps above, you are officially a Nebraska Corporation. Other than those 8 steps that are based on state guidelines, here are a few additional steps based on best practices for starting a successful Corporation. Not required, but highly recommended.
It’s a known fact that a business cannot start operations without the necessary funding.
The road to finding sufficient startup capital starts with a strong business plan where goals are outlined, the steps on how to achieve them are enumerated, and future growth plans are forecasted.
It is important that a business plan be in place not just to obtain funding, but also to give a clear cut direction the business is taking.
The next step when starting a business in Nebraska is to build a business website. This will give you added credibility and help future customers find out more.
Although building a website was difficult to do in the early 2000’s, nowadays you can use a simple tool like WordPress to build a customizable website. Learn how to get started with this step-by-step guide.
Instead of an annual report, a Nebraska Corporation Biennial Report should be submitted once every two years that a Corporation is in operations.
When you’re starting a Nebraska Corporation, you will be required to provide the address of your Registered Agent. This is where the report form will be sent for the biennial report. You can file for a Biennial Report in the One-Stop Business Registration system of Nebraska.
Filing fee: $25
Nebraska Corporate bylaws set the basic ground rules for your business’ operations.
Although these bylaws are not mandated by the state, having one in place in your organization provides standard operating procedures that must be observed, and it also shows the legitimacy of your Corporation to other entities such as creditors, banks, and the IRS.
Please be guided that this article is for informational purposes only. Do not use this as a legal document or advice. You should talk to a business lawyer for questions on how to form a Corporation in Nebraska or any specifics in starting a business in Nebraska.