Hello and thanks for trusting me to help you today. I am a tax adviser with over 15 years of experience.Profit corporations may be formed in Michigan for any lawful purpose. When articles drafted by the incorporators have been filed by the Bureau, the corporation's existence begins. Individuals acting as incorporators must be 18 years of age. However, they need not be United States citizens, residents of this state, shareholders, directors, officers or employees of the corporation.
You can find all the laws for corporations in Michigan under the Business Corporation Acthttp://www.legislature.mi.gov/(S(as0520rtqvmg5trokeshku3w))/printDocument.aspx?objectName=mcl-Act-284-of-1972&version=txt
If you are already doing business in Michigan or not you can incorporate in Michigan.
That is a lot of information. We would like to incorporate a business that we started as an LLC 18 months ago. We have been told that we have to be in business for at least three years before we can incorporate. You are saying that we can incorporate at any time?
By statute, an LLC may convert into a corporation, general partnership, or limited partnership. See MCL(NNN) NNN-NNNNndash;.4709. You'll need to file a certificate of conversion form 754. Statutory conversion automatically transfers your LLC’s assets and liabilities to the new corporation. Unlike other methods of conversion, only one business entity is involved: you do not need to separately form a corporation before the conversion can occur. There is also no need to dissolve your LLC. Instead, under Michigan’s conversion statute, the articles of organization are canceled as part of the conversion, and the business is considered to “survive” in the new form of a corporation. I am not aware of any 3 year waiting period. I can check further.If you’re looking to convert your LLC’s tax status from partnership to corporation without changing the LLC’s legal form, you need to file IRS Form 8832 (to be taxed as a C corporation) or IRS Form 2553 (to be taxed as an S corporation).
I am just not finding a 3 year wait period in Michigan.http://www.dleg.state.mi.us/bcsc/forms/corp/llc/754.pdfPerhaps depending on the specifics of your LLC (business contracts or agreements, such as bank documents, leases, licenses, and insurance that could be nullified if changed before 3 years) the 3 years is needed.