Background Information

      In the U. S., it is the individual states which have the power to grant or deny corporate existence, and there are important differences in corporation laws from one state to the next. Because most types of business activities can be incorporated in any state, it's worth taking a few moments to consider the merits of incorporating in a "corporate haven" such as Nevada.
      Under the law, a corporation is a "citizen" of the state where it is incorporated. Although it may subject itself to some of the laws of other states by doing business in them, it retains all of the rights, privileges, and immunities bestowed by its home state. Accordingly, an entrepreneur is entitled to -- and should seriously consider -- domiciling the corporation in the state with the most favorable laws, regardless of where she will conduct her business.  In some circumstances it may be worthwhile or necessary to incorporate in the state/province where you are doing business instead of, or in addition to, a "corporate haven" state.
      Nevada's economy has long been based upon mining and gaming. In the mid 1980's the Nevada legislature recognized the need to encourage the development of new and diverse business enterprises in the state, so it revamped certain sections of the corporation law in order to make Nevada the most "business-friendly" corporate climate in the nation. Since then, Nevada has experience phenomenal growth in the rates of formation of new corporations, topping 40,000 new entities formed in 1998 alone.
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Why Incorporate in Nevada?

Among the specific benefits you'll derive as a director, officer, and/or shareholder of a Nevada corporation are:

• No corporate or personal income tax
  
• No state franchise tax
  
• No corporate share tax
  
• No I.R.S information-sharing agreement
  
• Nominal annual renewal fees
  
• Permits one-owner corporations with full rights and immunities
  
• No minimum initial capital requirements
  
• Stock can be issued in exchange for "boot" (tangible property) or services to Stockholders are not public record
  
• the corporation
  
• Full personal liability protection available to officers, directors and shareholders
  
• Officers / directors need not live or even hold meetings in Nevada
  
• Directors need not be shareholders
  
• "Bearer shares" may be issued
  
• Minimal reporting and disclosure requirements
  

• Stockholders, directors, and officers need not live or hold meetings in Nevada, or even be U.S. citizens.
  
• Officers and directors of a Nevada corporation can be protected from personal liability for lawful acts of the corporation.
  
• Nevada corporations may purchase, hold, sell or transfer shares of its own stock.
  
• Nevada corporations may issue stock for capital, services, personal property or real estate, including leases and options. The directors may determine the value of any of these transactions, and their decision is final.
  
• Nevada is the hardest state in the country in which to PIERCE the CORPORATE VEIL