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Lee Phillips discusses the importance of articles of incorporation for corporations and articles of organization for LLCs. These documents are filed with the state to officially create the business structure, granting permission to operate under specific rules that provide limited liability and tax benefits. It's crucial for business owners to understand these documents. Many lawyers may present lengthy articles, but states only require minimal information for registration. It's essential to ensure that the proper articles are filed and grasp their significance in the formation and operation of the business.