Question: I need advice. I am reading "Rich Dad, Poor Dad" and it has
peaked my interest in starting a corporation. It would be really small
(I have little start up $) but, I like the idea of living off a
corporation (obviously that would take years).
My plan was to devote some $ for this corporation and invest in the
stock mkt under this corporation name.
Is this a good idea? I have researched on KY Sec. of State web and it
does not seem really all that difficult to start a corporation. I might
be missing something but all I see is the incorporation fee $50 and a
yearly update to KY.
With a corporation I would have to issue stock? How much do I issue and
do I make it "no par value?"
Your thoughts are appreciated
Doug I was on vacation and my answer is delayed. First of all, filing
online is just the "cover page" of the corporation. You need all of the
correct corporate Bylaws, Resolutions and tax elections. Frankly, I
think this is a really poor idea in the circumstances you present.
You should talk to a tax and estate planning lawyer to review your
choices. For example, can you contribute to a Roth IRA or regular IRA?
What about an employer's matching 401k? These need to be reviewed
before you take action.
I hope this helps!