[midas]

Card:

If you're going to start a Company - find a reputable lawyer and try to get some cheap advice (pay in stock) to help you out, especially if you are going to sell stock. If you're just going to sell shares to friends and family you do not need to register.

The next important thing is to decide your tax situation because there are many types of corporations.

S-Corps - mom and pop business, corporate income flows into owners tax statements. I think S-corps need to be 100% owned by the operator.

LLC - Limited Liability Company - can have many investors and taxable income flows to each shareholder (member). This structure is similar to a legal partnership.

C-Corp - most companies are c-corps. The Company pays taxes not the shareholder. Shareholders get dividends and capital appreciation.

BTW, if you're just investing, you will want to form a partnership not a Company.