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Hawaii Business Registration | Hawaii Business Licenses
About Hawaii Business Registration And Licenses:

Getting Started Business in the state of Hawaii: Welcome to InfoTaxSquare.com e-Filing program to file business documents with the Department of Commerce and Consumer Affairs for conducting business in the state of Hawaii. We will share a brief overview below to register business in the state of Hawaii, and what documents to be filed according to the entity type that has been chosen to start business in Hawaii. It's advised to stay connected with our live operators, who are available 7 days and 24 hours for your help.

The state of Hawaii is one of the most efficient and motivated states that has a very effective electronic portal to file documents online.

Filing Tips to avoid delay in filing documents:

It is important to file an error-free documents with the state of Hawaii to process your documents quickly, and we are sharing a few tips below to avoid such mistakes.

  • Proofread the document carefully and have a professional to review the documents before filing with the State of Hawaii.
  • The regulated requirements screen carefully by the state such as the principal address of the business, registered agent address and the mailing address.
  • Make sure the state filing fee is enclosed correctly.
  • Provide correct email address, authorized contact person's name and the telephone number to contact you by the state representative, if any deficiency found in the submitted documents.
A Right Entity Type To Start A Business in the state of Hawaii: One of the most common questions to start a company in the state of Hawaii, What are the parameters to choose a right business type? Corporation, limited liability company or if there is another alternative available which is a great fit for your business.

What you need to cover under a business plan to start business in the state of Hawaii?

  • Choose a right business type to lower the taxes, corporate veil to protect personal assets and the ability to raise capital if needed.
  • Are you buying an existing business in Hawaii?
  • How would you get a business license in Hawaii for your newly formed company?
  • How much is the registration fee to open company in the state of Hawaii?
  • How long does it take to complete a business and obtain licenses in the state of Hawaii?
  • Rules and regulations of tax filings in Hawaii.
  • Are you required to reserve a business name in Hawaii before registration a corporation or a limited liability company?
  • How to change owners' names in an already registered company in the state of Hawaii?
  • How to change the entity's name in Hawaii?
  • Mergers, Alliances and Joint ventures to run a successful business in Hawaii.
  • Is a publishing notice is required to form a legal entity in the state of Hawaii?

How does a Hawaii Entity Type control a business?

It is a general concept of an individual that an entity type controls the taxation rather protecting personal and the business assets. But, in reality deduction, credits and a good planning lower the tax instead of an entity type, that we will describe how each entity type results the taxes and the protection below:

  • Hawaii Sole Proprietorship: is controlled by a single owner and a business owner is personally liable for all the business debts. All business income and losses are reported on the income tax return. Taxes are paid based on the net income. The owner of the business is not allowed to take payroll.
  • Hawaii General Partnership: A partnership agreement is prepared and at least two partners are required to establish a partnership. The partnership is controlled by the partnership agreement between the parties. All business partners are liable for the partnership debts as per the partnership agreement. Each partner pays taxes based on the ownership and the taxes are paid as per the individual and corporate tax rates.
  • Hawaii Limited Partnership: This requires two or more partners. It contains two classes, general partners and limited partners. General Partners can dissolve the partnership without a consent of the limited partners, whereas the limited partners do not have this option. General partners generally operate business, according to the specific partnership agreement.
  • Hawaii C Corporation: A C-Corporation is controlled by minimum one stockholder and there is no limit (Unlimited). The business is managed by the board of directors and the owners of the business hold the company stocks. In the C Corporation, the owner's liability is limited to the capital contributed in the business unless acting as guarantor of the corporate debt. Taxes are paid twice under the C Type entity, first the corporation pays taxes, then the dividend transfers to the stockholders, who report the income on the income tax return.
  • Hawaii Public Benefit Corporation: It is also controlled by the stockholders and there is no limitation of the stockholders. The same rules apply as applies to a C Corporation.
  • Subchapter S Corporation: S corporation is controlled by a stockholder, income and loss pass through to the stockholder same as a partnership that reports on the income tax return of each stockholder. Owners liability is limited to the capital invested in the business. Currently, maximum 100 stockholders are allowed in the S Corporation.
  • Hawaii Limited Liability Company: It controls by the members and managers and at least one member or a manager is required to incorporate an LLC. A member of an LLC is equivalent to an owner whereas, a manager is appointed by an LLC member's to look after the company affairs. Income and loss are pass-through to the LLC owners and generally, the owner's liability applies same as in the C Corporation. In a simple word, a manager is an authorized representative. An LLC can have unlimited members and it can file taxes as a partnership, corporation or an S Corporation.
  • Hawaii Limited Liability Partnership: Partners control a company, as it is defined in the partnership agreement and the owners are liable to the extent of the capital invested. Profit and loss pass-through to the partners, who report it on their income tax return end of the year. The taxes cannot be deferred, and it should be paid in the year it was earned.

Steps to Start A Business In Hawaii:

  • Determine the legal structure of your business; such as registering a business name in Hawaii under your personal name or incorporate business name as an LLC or a Corporation which enables you to isolate or protect the personal assets from business. It is very important to veil your personal assets with a right entity type and insurance.
  • Check Business Name Availability with the Secretary of State Hawaii. State of Hawaii does not file a duplicate business name, and rejects such application.
  • Fill out a right application according the entity type, that you have chosen to transact business in the state of Hawaii, such as; a trade name, corporation or a limited liability company.
  • Hawaii Secretary of State charges all filing fees before processing the order.
For Example; A corporation has the ability to issue shares to the investors for raising the capital. A corporation shares are issued to the accredited and non-accredited stockholders whereas, an LLC is a hybrid business entity and profit and loss transfer to the company owner/member much like a partnership or a sole proprietorship. An LLC is well suited to a single owner company, where an owner of a company simply reports, business income and loss on the Internal Revenue Form 1040. There are always pros and cons and the situation can be changed over time, and a conversion can be filed to change the structure of a company.

Unlike, a limited liability company of the state of Hawaii cannot go to the public, like a C corporation of the state of Hawaii . For that reason, the venture capital companies often prefer corporations instead a Limited Liability Company Hawaii.

Should you hire an Attorney or a CPA to register a company?

It is not required, but if you need consultation pertaining to choosing a right entity type, we advise to consult an attorney for the legal questions and certified public accountants for the tax planning because the legal and tax laws are very complex in the USA.

Can A Local Resident of Hawaii, register an out of state entity?

  • Why Not? A local resident of the state of Hawaii is required to register business in the state of Hawaii regardless business is online or physically operated in the state of Hawaii. It is a wrong conception or interpretation of the Hawaii laws that a company can be registered as per the wish.
  • Yes, as a branch office to do business in the other state as well. But, not for the tax benefits.

Hawaii Entity Name Search:

Regardless, the entity name is unique and not found a match in different search engines such as Google, Yahoo and DueClix.com, the Hawaii company name must be searched in the Hawaii Secretary of State database.

After deciding the legal entity type and preliminary business name search with the Hawaii Secretary of State, it is highly recommended to search business name with the USPTO website too, to avoid any future dispute, if a company has already trademarked name nationwide and challenge you to take-off or change the business name. Though the business name confirmation with the USPTO is not required, but it will help you in future, if you ever decided to trademark your business name nationwide.

Hawaii Secretary of State Provide the following fillings to register and maintain an existing business:

Hawaii domestic corporation | Hawaii foreign corporation | Hawaii Professional Corporation | Hawaii Domestic Nonprofit Corporation | Hawaii Foreign Nonprofit Corporation | Hawaii cooperative association | Hawaii Sustainable Business Corporation , Hawaii Domestic Limited Liability | Company | Hawaii Foreign Limited Liability Company | Hawaii Domestic Limited Liability Partnership | Hawaii Foreign Limited Liability Partnership | Hawaii Limited Partnership | Hawaii Domestic Limited Partnership | Hawaii Foreign Limited Partnership | Hawaii Domestic General Partnership | Hawaii Foreign General Partnership | Hawaii Business Annual Report Filing | Hawaii Certificate of Good Standing | Hawaii Business Entity Name Search

Hawaii Business Licenses And Taxation:

About the business licenses and permits in the State of Hawaii, inquire and acquire by the Hawaii department of revenue.

The sales and use tax is becoming a very complex issue across the United States due to the internet sales, So, it is advised to hire an experienced accountant to handle your sales tax returns correctly to avoid the complications.

Renewal And maintenance of the Hawaii Company:

The state of Hawaii requires every business entity to renew and maintain business name registration and licenses on time to legally transact business in the state of Hawaii.

How to open a business account in Hawaii?

Generally, most banks ask company owners or the responsible parties to come physically in the bank along with the proof of the company registration such as Article of incorporation, Article of Organization or a business certificate and the employer identification number.

A bank may also request to provide an operating agreement and minutes of meeting to open a bank account. The social security number is not required for a Non US Resident to open a business account. A Non US Resident gets an ITIN, which is an alternative of a social security number, but only after filing income tax return.

Grow with Alliances in Hawaii:

Make local alliances in the state of Hawaii, to grow businesses faster, which also creates job opportunities in the state of Hawaii. A right alliance also gives, a business owner flexibility to take some time off from the business and share business responsibilities with other partners.

Why choose InfoTaxSquare.com for the State of Hawaii Business Registration?

InfoTaxSquare.com is a private agency and it is not associated with any government agency. We file documents with the different government agencies as a representative . InfoTaxSquare.com operators are available online 24/7 for the customer support. We respond to all inquiries within 24-48 hours.

Choose One Of The Following Links To Proceed For A Business Name Registration or Business Licenses In The State of Hawaii:

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