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incorporation and authorized share structure

(@Anonymous)
New Member

Hi all,

First time poster, and first time business owner, so please forgive the newbie. I'm starting a restaurant in BC, Canada. I want to incorporate, and am hoping someone who has gone through it can help out. I have two questions:

1) When registering a name for the corporation, my first instinct was to use the name of the restaurant. However, a friend suggested that I simply use the incorporation number of the company, followed by "BC Ltd." He seemed to think this would speed up the process, as a name search wouldn't have to be done. Does anyone know if this is the case, or of any advantages or disadvantages in registering a corporation in this way?

2) In the "Notice of Articles" section of the incorporation application, there are these instructions:
"An incorporated business can issue shares, which represent ownership interest in the company and give the shareholder a say in how the company is being run. For most small companies starting out, a simple share structure with just one class of shares (and no series) is typical."

The columns into which information is to be entered are:
1. Identifying name of class or series of shares
2. Maximum number of shares of this class or series of shares that the company is authorized to issue, or indicate there is no maximum
3. Kinds of shares of this class or series of shares
a) Without par value b) With a par value of ($) c) Type of currency
4. Are there special rights or restrictions attached to the shares of this class or series of shares? (Yes or No)

The document is here: http://www.fin.gov.bc.ca/registries/corppg/forms/reg50B.pdf

I have no idea what I should write here, and have searched high and low for guidance, without success. My wife and I are 50-50 owners, and don't anticipate selling any shares in the company (at least not for several years). Does anyone have any suggestions?

Thanks a lot!

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Topic starter Posted : 16/07/2010 6:14 am
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