Nevada
as a Corporate Haven
Liability Protection in Nevada
Privacy in Nevada
Taxes in Nevada
Tort Reform in Nevada
Nevada's Business License
Incorporate
in Nevada
The Nevada Corporation Handbook
Nevada Corporations
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Nevada has spent more than a decade developing the infrastructure to support its claim as the incorporating capital of the west. Instead of resting on its laurels, Nevada has become much more determined to establish itself as a leader in incorporation, as evidenced by the complete revision of Nevada's Corporation Code in 1987, and again in 1991 that makes the entire incorporation process quicker and more efficient, with greater liability protection than ever before.
In 1996, Nevada made its first appearance in the Top Ten List of states with the highest number of incorporations. That's not bad, considering there are 36 states with larger populations than Nevada. Approximately 1,500 corporations are formed every month in Nevada, which is three times higher than in 1985.
Because of Nevada's pro-business attitude, Inc. Magazine and Money Magazine have rated Nevada #1 among all states in recent years for favorable business cliimats. In the last decade, Nevada has clearly established itself as the "Corporation Capital of the West," and has shown significant annual growth in the number of new businesses that incorporate there each year. And, Nevda's legal system, while not as experienced as Delaware's, has naturally grown to accommodate the need for establishing legal precedents that support the state law.
Nevada offers many advantages as a corporate haven:
Nevada Has no state corporate taxes.
Nevada has no franchise tax.
Nevada has no tax on corporate shares.
Nevada has no personal income tax.
Nevada provides total privacy of shareholders.
Nevada is the only state without a formal information-sharing agreement with the IRS.
Nevada allows for the issuance of "bearer shares".
Nevada has minimal reporting and disclosure requirements.
Nevada has nominal annual fees.
Nevada allows for a one-man corporation.
Nevada has established case law that prevents easy piercing of the corporate veil.
Corporate officers and directors can be protected from any personal liability for their lawful acts on behalf of the corporation.
Stockholders, directors and officers need not live or hold meetings in Nevada or even be U.S. citizens or residents.
Only the names and addresses of the officers and directors are on public records. No other information, listings, or minutes of meetings are filed with the State.
There is no minimum initial capital requirement to incorporate.
Nevada corporations may issue stock for capital, services, personal property, or real estate. The directors alone may determine the value of any such transactions, and their decision is final.
Nevada's Corporation Code has been criticized by some as too pro-management, offering far too much flexibility in maintaining the corporation's affairs. Critics have said that the law in Nevada is not concerned enough about the rights of stockholders or employees. However, since the 1991 version of the Corporation Code was adopted, Nevada has experienced a 35% increase in the number of corporations filed in the state.
Most of these corporations are being formed by small companies, where the stockholders and the management are the same. These people are concerned very little with protecting their rights as a stockholder, since they also manage the comapnay and receive all of the benefits of Nevada's liberal Code.
