What is meant by corporate compliance?
Every corporation, with few exceptions*, must take care of formal initial and ongoing compliance actions. These include:
Ø hold an organizational meeting,
Ø elect officers,
Ø adopt bylaws,
Ø issue stock,
Ø hold annual meetings,
Ø document all major actions in writing,
Ø complete annual state filings, and
If your corporation does not do ALL of these things, in a timely manner, it is not compliant under its state’s statutes.
* One exception is the Close Corporation