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Feb
26 • 2017
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What business activities can my corporation engage in?

Except for providing banking or professional services, your corporation can generally engage in any business activity, subject to any limitation contained in the company’s articles of incorporation. See Cal. Corp. Code § 206. Although you can limit the type of business activity your company engages in by a statement to that effect in the articles of incorporation, see Cal. Corp. Code § 204(a)(6), it is best not to do so, or you will have to amend your articles of incorporation if you later choose to have your corporation engage in an activity not permitted by the articles. For that reason, articles of incorporation prepared for you by a lawyer will include a provision to the effect that the purpose of your corporation is to engage in any lawful activity for which a corporation may be organized under California law. See Cal. Corp. Code § 202(b)(1)(A).