Incorporation

Legally creating the company as an entity separate from its founders.

Example

Registering a limited company or corporation in a chosen jurisdiction.

Important

Jurisdiction affects taxes, investor appetite and admin burden. Many investors have strong preferences — ask before you incorporate, not after.

Related terms

  • Founders agreement — The document setting out equity split, vesting, roles, decision-making and what happens if a founder leaves.
  • Governance — The rules and structures by which decisions get made and the company is held accountable.
  • Legal structure — The legal form of the business — sole trader, partnership, limited company, corporation.

Lessons that explain it

  • Legal structures and incorporation — Educational, not advice. What the main structures are, why only some can take investment, and when to talk to a professional. (12 min)
  • When to talk to a lawyer or accountant — Which situations genuinely need a professional, which do not, and how to spend the least money getting the most protection. (10 min)

All 176 terms in the Founder glossary