Inc.'d

It's official. I have incorporated the business. There's something strangely satisfying about having done so. I felt the same giddyness when I registered for tax numbers (so that one can collect taxes on behalf of the government, something I take no joy in). But this feels better. I own a corporation.

Having gone freelance back in January, I probably should have done it sooner but felt that running as a sole proprietor would be enough. But now I can set up a business account and really try to keep business expenses separate from personal expenses. It's just going to make life easier come tax time.

The official company name? Snook.ca Web Development Inc.

Queue Peter Gabriel's Big Time...

Published November 09, 2006
Categorized as Business
Short URL: https://snook.ca/s/717

Conversation

34 Comments · RSS feed
Matt Robin said on November 09, 2006

Congratulations Jonathan!

Elliot Swan said on November 09, 2006

Now next thing you know you'll be selling stock. :P

acts_as_flinn said on November 09, 2006

Congrats!

Paul Armstrong said on November 09, 2006

Wow... I bet that really does feel good. Congrats.

kasra said on November 09, 2006

Congrats! How much did the whole process end up costing you?

Jonathan Snook said on November 09, 2006

kasra: It cost about $1000 in total. That includes the lawyer costs, name lookup, and registration fees.

Elliot: the cool thing is that I can! Any takers? :)

John B said on November 09, 2006

"Big Time" rocks!

Scrivs said on November 09, 2006

Don't forget your roots. I get first dibs at stock options.

Bryan Veloso said on November 09, 2006

Congrats dude. :D Always great to see the company name on paper like that.

David W. said on November 09, 2006

Congratulations! I went from freelance to working as an LLC a little over four years ago, and it's remained one of the best decisions I've ever made. Even when working with the same clients, I got loads more respect and was able to feel more like an equal instead of just another worker.

Bramus! said on November 10, 2006

Congratz Jonathan!

Ben said on November 10, 2006

Good one Jon, I did a similar thing except over here in the UK it's a Limited company (Ltd.). It does feel good to have a "proper" company doesn't it, even if only to separate business and personal finances etc.

Nate K said on November 10, 2006

Congrats Jonathan (,inc), thats awesome!

Im up for some stock....

Brent Wilcox said on November 10, 2006

Well done, Jon. I can now say that I know a CEO on a first name basis :> Have a good weekend.

Jon said on November 10, 2006

Congrats, Jon! Very well done indeed.

Matt Turner said on November 10, 2006

Snow white pillow for your big fat head?
Congrats.

Eugene Cook said on November 10, 2006

Most of the stuff you can end up doing yourself, you really don't need a lawyer to handle it. Just make sure you are doing research in the subject.

Know the difference between an LLC and a Class C corp definitely, and also check our Class S corps for some tax advantages.

Total cost for that...at least in TX...$300, and if you do it online...you can typically get everything back within 30 minutes. They send you a pdf that will act as your certificate of incorporation.

Getting a tax id is even quicker, and free.

Most of the states are cheaper then TX for corporation registration.

Johan said on November 11, 2006

@Eugene

Here is an interesting free chapter of the book Talent Is Not Enough: Business Secrets For Designers
on cash flow. You do not have to re-invent the wheel.

Miha Hribar said on November 11, 2006

Congrats Jonathan! Hope all bodes well for you and your company :)

Jason Kataropoulos said on November 11, 2006

Congrats Jonathan and good luck!

Xavez said on November 11, 2006

Congrats! :).
PS: I'd also like to thank you for all the times I've really enjoyed your tips and never replied--shame on me.

Di said on November 11, 2006

Congratulations!
n don't ignore update this site:)

Matthew Sanders said on November 11, 2006

Congratulations Jon!
I've been wanting to incorporate for a while now. I just haven't taken those steps yet. I don't know if it's just the fear of success or what.

Jonathan Snook said on November 11, 2006

Matt Turner: "big fat head." You sound like my wife. She often wonders how I make it through the door.

Eugene Cook: I could have avoided the cost of a lawyer and done it online myself for about $250 but I didn't want to take any chances. I figured the expense will be worth it in the end.

James John Malcolm said on November 12, 2006

Hey congratulations!

Kilian Valkhof said on November 12, 2006

These are your first steps into becoming a big, bad corporation!

Just kidding, congratulations Jonathan!

Steve Tucker said on November 12, 2006

Congratulations Jonathan - enjoy the mini power trip that comes with it ;)

Chris Lienert said on November 12, 2006

Now that you're a technology company and don't have to worry about troulesome things like income, I can see a big bonus to the CEO this year.

Frederick Beauvais said on November 12, 2006

Toutes mes félicitations Jonhy Boy! May your new company road be paved of gold.

For my part, It only reminds me to stop procrastinating on it ;)

Adrian said on November 13, 2006

Congrats! Perhaps you could go into some of the details or pros and cons for those of us who are contemplating similar decisions.

Miles Johnson said on November 13, 2006

Are there any benefits of doing this?

Good going on it though ;]

mark said on November 14, 2006

Congrats Jonathan! It's good to be in a business. Good luck with it!

neojp said on November 14, 2006

Congratulations with your brand new Inc ;)

Brett Mitchell said on December 20, 2006

In response to #31, Miles Johnson:

A corporation is it's own legal entity -- You can't recover debts held by the company by going to the owners of the company. They're completely seperate, with different bank accounts. In a proprietorship or partnership, if the company buys $10,000 of inventory and can't pay the bill, the bank can take the money from Jonathan personally. In a corporation, the bank can seize the company's assets, but Jonathan can't be held responsible himself (even though he owns the company 100% and he purchased the items for the company) so his belongings (house/car/pets/etc) are safe.

There's other reasons for doing so, but that's the major reason most individuals go with a corporation.

I don't know Ontario law but I incorporated for easily under $400! I suppose the lawyer fees were a good portion of the $1000?

Congratulations nonetheless.

-Brett Mitchell

Sorry, comments are closed for this post. If you have any further questions or comments, feel free to send them to me directly.