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socrateaser
socrateaser, Attorney
Category: Business Law
Satisfied Customers: 38910
Experience:  Retired (mostly)
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Can my cofounder and I agree on a simple one-pager that we

Customer Question

Can my cofounder and I agree on a simple one-pager that we will do a 50-50 split on equity once our company is legally formed (as a DE C-corp), so that we don't have to incur the cost of forming right now? I'd also like to assign our technology to the company as part of that.
JA: Has anything been officially filed? If so, what?
Customer: Not yet.
JA: Anything else you want the lawyer to know before I connect you?
Customer: Yes, I want to know if we form the company NOW, we will be on the hook for estimated taxes to CA (under foreign corp filing) for 2016, or not until next year? Thanks.
Submitted: 9 months ago.
Category: Business Law
Expert:  socrateaser replied 9 months ago.

Hello...you asked:

Can my cofounder and I agree on a simple one-pager that we will do a 50-50 split on equity once our company is legally formed (as a DE C-corp), so that we don't have to incur the cost of forming right now? I'd also like to assign our technology to the company as part of that.

A: Yes, that would be a partnership agreement to form a corporation.

I want to know if we form the company NOW, we will be on the hook for estimated taxes to CA (under foreign corp filing) for 2016, or not until next year?

A: Every corporation registered in California must pay a minimum $800 annual franchise tax, unless the corporation is dissolved without doing business within the first calendar year of its existence. So, the answer is "yes," with that qualification.

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