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Pre incorporation contract example

Pre incorporation 2025

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The document is a Preincorporation Agreement outlining the terms and conditions for forming a corporation in Utah. It details the responsibilities of the parties involved, including the formation timeline, management structure, initial capital contributions, stock issuance, and operational guidelines. Additionally, it includes provisions for shareholder agreements, confidentiality agreements, and buy-sell agreements to govern the transfer of shares and protect confidential information among shareholders.

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Click ‘Get Form’ to open the pre incorporation agreement in the editor.
Begin by filling in the date at the top of the document, followed by the names of all parties involved in the agreement.
Specify the proposed name of the corporation and ensure it complies with state regulations. If unavailable, agree on a substitute name.
Indicate the purpose of forming the corporation and list any specific business activities intended.
Complete sections regarding initial capital contributions, including estimates for equipment, salaries, rent, and other expenses.
Fill out details for stock issuance, including names, number of shares, and consideration for each shareholder.
Designate individuals to serve as directors and ensure their consent is documented within the form.
Review all entries for accuracy before saving or exporting your completed document for signatures.

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Why use a pre-incorporation contract?

A pre-incorporation agreement can detail how a corporation will operate. It can outline the management structure as well as set the terms for who will exercise control over the company before the initial corporate meeting is held.

What is meant by pre-incorporation?

A pre-incorporation contract refers to a contract where one party of the contract is a company that is yet to be incorporated.

Is an incorporation better than an LLC?

If all the owners want to participate in running the business, LLC beats Inc. But if the members want to be passive investors and have the business run by managers with more expertise than they have, and want the extra protections provided by the corporation statutes, then Inc.

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