NOTE: This is not legal advice; I am not a lawyer.
Last time, I talked about why you'd want to set up a production company to make your independent film. Today, I'll talk about how: the practical steps to incorporating your business.
The process for setting up your business is usually pretty simple and not very expensive. You can do it yourself.
If you are smart enough to make a movie, you are smart enough to handle some bureaucracy.
Or..."If you can't handle some bureaucracy, you won't be able to make a movie."
Let's assume you are going to set up a limited liability corporation (LLC) because it's the most common, though the process will be similar for any other type (limited partnership, S-corporation, etc. If you are establishing a partnership, you'll probably want a lawyer involved; I would hire an entertainment lawyer for it).
The cost for setting up your LLC will depend on the state you'll be working in. We're in Indiana, so the price for setting one up is only $95, but some states charge up to $500 for it (here's a website that lists all the state prices). Most states charge renewal fees as well, though these tend to be pretty inexpensive.
Once you get the money together, you'll need to contact your Secretary of State's office. Nearly all of them have web portals now, easily found with a search engine. Indiana's web portal for the Secretary of State is here: inbiz.in.gov.
The first thing you'll need to do is find out if the business name you'd like is available. The web portal should have a search function on it just for this.
Find the link on the home-page to start a new business and begin filling out the online forms.
Some questions you'll need to know how to answer are these:
You'll need a mailing address to headquarter your business at. It cannot usually be a PO Box.
You'll need an email address.
You'll need to provide a "Registered Agent." This is a person who can receive and respond to official correspondence reliably. This can be you, but you might also use your lawyer.
You'll need to determine your "governing agent" and their title. This is probably yourself. If you are going to have someone else run your business for you, indicate that a manager will be running it. Otherwise, just list yourself as CEO.
Once you get to the end of the fillable forms, get your credit or debit card out and pay the filing fee. If you get confused, just call the support people listed on the website. They can help you if you get confused. In a few weeks, you should get a letter in the mail from the Secretary of State's office. However, your receipt should serve to allow you to open a business account with your bank, sign contracts, etc.
NEXT UP: Get An Excellent Screenplay
Fun Bonus Quiz!
What do you think about fate?
All of us has a destiny; you can't escape it.
Our destiny is an opportunity we can achieve or not.
Micah Faulkner is the CEO of Bowling Frog Productions. He currently has multiple projects in various stages of production.
Contact him at micah.faulkner@bowlingfrog to find out how you can be part of our team!