Using an Expired Business Name in Utah: Is it Allowed?

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Selecting a name that accurately describes your brand and services is one of the most crucial steps in beginning a business. What transpires, though, when the chosen business name expires? Is it still functional? Utilizing an out-of-date business name is typically prohibited in Utah.

For the purpose of regulating commercial entities in the state, including name registration, is the Utah Department of Commerce. In Utah, company names must be distinct from those of other registered companies. Once registered, a name is good for a year and can be renewed every year. The name will become available for registration by other entities if a company doesn’t renew the name registration before it expires.

You must register a new business name with the Department of Commerce if you want to keep using an expired business name. However, keep in mind that the department could deny the registration if the name is too similar to another name already in use or if it is difficult to differentiate from those of other registered companies.

Important Characteristics of a Corporation

When a company is incorporated, it is regarded as a distinct legal entity from its owners. As a result, the company is allowed to possess property, make agreements, and be held accountable for its own debts and obligations. Among a corporation’s fundamental qualities are some of the following:

1. Limited liability: Shareholders are not held personally responsible for the corporation’s debts and obligations.

2. Perpetual existence: A corporation can continue to operate forever, notwithstanding the passing of any of its shareholders.

3. Centralized management: A board of directors is chosen by the shareholders to direct the corporation’s management.

4. Transferable ownership: Shareholders have the option to buy and sell their corporation’s shares.

Receiving Compensation from an LLC

You might be interested in learning how to pay yourself if you operate a limited liability corporation (LLC). The response is contingent upon how your LLC is taxed. You may be able to withdraw money from the company as a draw if your LLC is taxed as a partnership or sole proprietorship. This entails that you can easily transfer funds from your personal account to your corporate bank account.

You must make a wage or salary payment to yourself if your LLC is taxed as a S corporation or C corporation. As a result, you must set up a payroll system and deduct taxes from your payment.

Can a Single Person Own an LLC?

Yes, a single person may hold an LLC. An LLC with only one owner and operator is known as a single-member LLC. Many of the advantages of multi-member LLCs, such as limited liability protection and pass-through taxation, are also available to single-member LLCs. The IRS and other regulatory bodies might be more interested in the LLC because there is just one owner, though. If you want to know if a single-member LLC is the best option for your company, you should speak with an accountant or business lawyer.

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