Your New Mexico Professional Corporation name can identify the type of products and services your business will provide; or it may be the name of the founder; or it can be a combination of the two or something else.

In any case, the New Mexico Professional Corporation name that you choose must be distinguishable from the name of any other registered New Mexico Professional Corporation or other business entity and the name must also be different from any reserved names on record with the state of New Mexico.  Your New Mexico Professional Corporation name must not imply that it was formed for a purpose other than that stated in your Articles of Incorporation; and your New Mexico Professional Corporation name must not be a name that is likely to mislead the public.

The name of a New Mexico Professional Corporation must include the word "Corporation" or "Incorporated" or an abbreviation of one of these words.

It's important to choose a good name for your New Mexico Professional Corporation because if you want to change it after you incorporate you will have to file amended Articles of Incorporation with the New Mexico Secretary of State (and pay a fee).

Every New Mexico Professional Corporation must have an address that is physically located in the state of New Mexico.  This address is "registered" with the New Mexico Secretary of State.  The Registered Address is where official and legal correspondence can be delivered.

The individual or company that is registered with the state of New Mexico to receive all correspondence on behalf of the New Mexico Corporation is called a "Registered Agent".  You may act as your own Registered Agent, however, many New Mexico Professional Corporations hire a Registered Agent because they don't have a physical address within the state of New Mexico or to provide a distinct level of privacy.

All New Mexico Professional Corporations are required to have a Board of Directors.  Directors are the people who will set policies for your New Mexico Professional Corporation and manage the business and its resources.  In the majority of small corporations directors are the owners. The Articles of Incorporation or Corporate Bylaws may define specific qualifications for Directors. 

The Board of Directors is responsible for creating rules, approving budgets and distributing profits to shareholders. One of the most important duties of the Board of Directors is electing Officers for your New Mexico Professional Corporation.  The same person may be a Director and an Officer at the same time.  Directors need not be residents of the state of New Mexico or shareholders of the New Mexico Professional Corporation unless the Articles of Incorporation or Bylaws require it.

Normally Directors for your New Mexico Professional Corporation are elected for a term of one year.  Elections are held at the annual meeting of Shareholders.  The Directors serve until the next annual Shareholders meeting.

The Board of Directors elects Officers for your New Mexico Professional Corporation in accordance with the Corporate Bylaws and Articles of Incorporation.  Officers serve at the pleasure of the Board of Directors of the New Mexico Professional Corporation.  Officers handle the day to day operation of the New Mexico Professional Corporation.

Unless specifically prohibited by the Corporate Bylaws or Articles of Incorporation, in a New Mexico Professional Corporation the same person may hold more than one Corporate Office at the same time.  However, there are certain legal affairs in which the same person cannot act in more than one capacity.

One Officer - usually the Secretary - is given responsibility for preparing Minutes of Directors and Shareholders meetings and for authenticating records for the New Mexico Professional Corporation.

The New Mexico Corporate Income Tax Rate is %.  You may form an S Corporation in New Mexico.  S Corporations may "pass through" all corporate profits to the shareholders (owners) who then pay tax at their applicable personal rate.  S Corporations do not pay any New Mexico Corporate Income Tax.

In order to form a Corporation in New Mexico you must file Articles of Incorporation with the New Mexico Secretary of State.  The Articles of Incorporation must include certain specific information about your New Mexico business. If the Articles do not conform exactly to state of New Mexico requirements they will be rejected.  You may subsequently amend the Articles of Incorporation for your New Mexico Professional Corporation but you will have to pay a fee to the state of New Mexico in order to make the changes official.

A Federal Employer Identification Number, also known as a Federal Tax Identification Number, is used by the IRS to identify a business entity.  An FEIN is like a Social Security Number for your New Mexico Professional Corporation.  All New Mexico Professional Corporations are required to have an FEIN.

Corporate stock is evidence of ownership of a New Mexico Professional Corporation.  When you form your New Mexico Professional Corporation, you will need to determine what type of stock and the number of shares of each type that you want to authorize.  You do not have to sell the number of shares that are authorized.  Many small New Mexico Professional Corporations hold 100% of the shares.

Stockholders in a New Mexico Professional Corporation are entitled to voting rights or dividends of the Corporate profits or both.  Whoever owns over 50% of the stock of the New Mexico Professional Corporation is able to make all Corporate business decisions.  New Mexico Professional Corporations usually hold at least 51% of the corporate stock in order to retain control of the New Mexico Professional Corporation.

The Board of Directors holds an initial meeting to elect Officers, authorize issuance of stock and adopt the Corporate Bylaws.  Bylaws are the internal rules of your New Mexico Professional Corporation.  They are adopted by the Board of Directors and vary widely from Corporation to Corporation.  Commonly bylaws include the number of seats on the board of directors; how Directors are elected; how meetings of Directors and Shareholders are to be conducted; what Officers the New Mexico Professional Corporation will have and a description of each of their duties. 

As your company grows over time, you may amend your bylaws as necessary.  Bylaws generally cannot be amended by the Board of Directors unilaterally.  A vote by the majority of Stockholders of the New Mexico Professional Corporation is usually required to amend the Corporate Bylaws.  Bylaws may include any rules for managing the business and conducting corporate affairs.  Almost anything may be written into the Bylaws, however, the Bylaws must not be in violation of any federal or New Mexico law or the New Mexico Professional Corporation's Articles of Incorporation.  A copy of the Corporate Bylaws should be maintained at the Corporation's principal New Mexico office.

It's very important that you have a separate business bank account for your New Mexico Professional Corporation.  Mixing personal and business funds can get you in a lot of trouble with the tax man down the line.  It's a good idea to contact the bank before you open a business bank account.  Specific requirements vary from bank to bank.

Note that forming a New Mexico Professional Corporation doesn't take the place of obtaining a business license, tax registration certificate, or other required business permits.  A New Mexico Professional Corporation merely creates an ownership structure that limits the owners' personal liability.  You may still need to take care of getting set up to do business with your local government.

Depending on the nature of the business and the location of your New Mexico Professional Corporation you may need to get one or more city business licenses or permits.  The business licenses or permits that are required for your New Mexico Professional Corporation vary depending on your business activities and the specific locations within the state of New Mexico in which you want to conduct business.

If your New Mexico Professional Corporation will be selling products in New Mexico you may be required to obtain a Reseller's Permit from the appropriate New Mexico state agency.  If your New Mexico Professional Corporation will be selling products in New Mexico you will also be responsible for all applicable local and state of New Mexico sales taxes if there are any.

Every New Mexico Professional Corporation must hold corporate and shareholder meetings, at least annually, and must keep minutes of each meeting on file.  A copy of the minutes is evidence that the meetings took place and includes all resolutions that were adopted.  The minutes of each meetings must be open for inspection by any Shareholder or Director.  This meeting requirement is often overlooked and comes into play when the New Mexico Professional Corporation is challenged for any reason.  Keeping proper meeting minutes and documenting resolutions made and approved by the Directors is a formality that could save your New Mexico Professional Corporation a lot of potential trouble.

A new NM Corporation must file an Initial Corporation Biennial Report with the New Mexico Secretary of State within 30 days of the date on which the NM Secretary of State approved the Articles of Incorporation of the New Mexico Corporation.

Every New Mexico Corporation must file a Biennial Report with the NM Secretary of State EVERY two years.

The New Mexico Corporation Biennial Report is due three and one-half months after the end of the NM Corporation's fiscal year, every two years.

For example, if a New Mexico Corporation was approved by the NM Secretary of State in 2014 and the NM Corporation fiscal year end was Dec 31, the New Mexico Corporation would be required to file NM Corporation Biennial Reports by March 15, 2016 and every two years thereafter.

If a New Mexico Corporation does not file its Biennial Report with the New Mexico Secretary of State by the due date, the NM Secretary of State will impose a $200 fine on the New Mexico Corporation.

If the New Mexico Corporation does not file its Biennial Report with the New Mexico Secretary of State within six months of the due date, the NM Secretary of State will administratively dissolve the New Mexico Corporation.