BizTerm Definition
Company Purpose
Short Definition
The reason for a company's existence
Full Definition

The Company Purpose is a limitng definition of what your corporation or LLC intends to do in the state.  In other words why it exists.  Many states require that a corporation or limited liability company state their purpose for existence (i.e. "To sell motorcycles to the retail public") in their Articles.  However, most states do not not require that your articles of organization (for LLC) or articles of incorporation (for INC) even list a limiting purpose.  In those states, your purpose is usually "any and all legal activites" or something similar.

Professional entities (PCs or PLLCs) are always required to list a professional purpose in their articles, often limiting their activities to what they are professionally licensed for in that state.

Foreign entities (those that are formed in one state, but registered in another) are often required by the foreign state to list a purpose in their registration.  Some foreign states even require that the entity have that purpose in their articles in the formation state.

You should always check with your state's requirements and list a purpose based on their requirements.

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