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Documents Required > Documents Required - Pg. 28

First Steps Note 28 CAUTION Consulting an attorney early in thisprocess will save you money andheartache in the long run. She willhelp you figure out the capitalstructure, ownership distribution,and equity in- centive plan best fitting your needs, as well as help youdevelop tax-efficient strategies. You will need to obtain the following documents to set up an S-corporation. Certificate of Incorporation/Articles of Incorporation The Certificate of Incorporation must be filed with the secretary of state of the state in which you will be incorporating (not necessarily the same as your principal place of business) to inform the gov- ernment of your company's vital statistics. Requirements for this document vary from state to state, but most require: · Name. · Business Purpose. For most states, this can be as general as "engaging in any lawful activity for which corporations can be organized in the state." · Authorized Capital. This is the number of shares that the corporation can issue, their par value (usually $.01), and classes of stock, if more than one. Because it is common to issue preferred stock to later investors (see discussion below) you may want to authorize "blank-check" prefer- red stock (if your state allows it) to avoid the expense of amending the articles. Blank-check preferred stock states that preferred stock is authorized and shall have the rights, preferences, and privileges that the board sets in board resolutions. · Agent's name and address. Service of process sent to this address will be deemed received, so rather than using the address of an individual associated with the corporation, hire one of the companies that provides this service inexpensively. The worst-case scenario would be that