The articles of association form a document that outlines the regulations for the operations of a company and defines its purpose. It sets out how tasks should be performed within the organization, including the process for appointing directors and the management of financial records. In some states, a copy of company bylaws is also required. Bylaws help keep a corporation running smoothly by describing the rights and responsibilities of shareholders and the board of directors.
Articles of incorporation are legal documents that are filed with the state government when a company is incorporated. They separate the business owner from the company by creating a separate legal entity for the company. The articles may contain details such as the names of the initial directors, the principal activities or purpose of the corporation, and any initial provisions governing its administration. The number and type of shares that make up the capital of a company are also listed in the articles of association.
It's easy to confuse articles of incorporation with bylaws, which set out the rules and regulations that govern a corporation and help establish the functions and duties of its directors and officers. A company may or may not issue shares, but if they are listed in the articles of association, shares can be issued when necessary. Articles of Incorporation cannot be used for companies based in certain industries, according to state laws. Forms are easily found online, but don't be alarmed if they are called anything other than articles of incorporation.
While the content of the articles of association and the exact terms used vary from jurisdiction to jurisdiction, it generally contains provisions on the name of the company, its purpose, share capital, organization, and provisions relating to shareholder meetings. A limited liability company may be formed by filing Articles of Organization pursuant to Section 203 of the Limited Liability Companies Act. In compliance with the requirements of A Virginia Stock Corporation, and for the purpose of forming a for-profit commercial corporation in Virginia, the undersigned wishes to form a corporation in accordance with these Articles of Incorporation.