Companies planning to go public one day will typically form general corporations. In these blogs, we explain all you need to know.
How Important is Corporate Indemnification?
Tuesday, April 16, 2019
In a corporation, the scope of indemnification can vary, depending upon the terms of the corporation’s charter and bylaws, but only within certain parameters prescribed by the Delaware corporate law and judicial precedent... Read More
Advantages of a Delaware Close Corporation
Tuesday, March 26, 2019
A General Corporation can have as many shareholders as it sees fit. With a Close Corporation, there are restrictions on the sale or transfer of stock. The sale or transfer of stock in a Close Corporation can be restricted by the Right of First Refusal clause... Read More
Why Venture Capitalists Prefer Delaware C-Corps
Monday, January 7, 2019
The first requirement of every serious investor, angel investor and Venture Capitalist is the same: your company must be a Delaware C corporation before they will even consider investing in it... Read More
Authorizing Shares for Your Delaware Corporation
Tuesday, November 13, 2018
Now that you've formed a corporation, you may wonder about authorizing shares for your Delaware corporation. How many shares do you need and at what "par value?".. Read More
What Is a Banking Resolution Document?
Tuesday, October 23, 2018
At the first meeting of the members (for an LLC) or the Board of Directors (for a corporation) establishing a company, a corporate resolution about banking details is often included.
Although a company may agree on several different types of resolutions during the meeting, the banking resolution is often the most commonly extracted resolution from the general minutes of the meeting... Read More
What Is The Role of a President of a Corporation?
Tuesday, October 16, 2018
The person who is President of a company is in the highest position within an organization and, in some cases, takes on the title of Chief Executive Officer as well... Read More
Delaware Certificate of Incorporation
Monday, August 20, 2018
A Delaware Certificate of Incorporation is the foundation upon which a Delaware corporation is built. The state of Delaware requires very little information to be made public in order to form a corporation; the Certificate of Incorporation only requires a few pieces of information... Read More
Everything You Need to Know About Stock Transfers
Tuesday, August 7, 2018
Typically, people hand a stock certificate to a shareholder and then document the exchange in the company's stock transfer ledger, which is utilized to properly record the transfer... Read More
Non-Profit Corporation vs Public Benefit Corporation
Monday, July 2, 2018
A traditional non-profit—or not-for-profit—company aims to serve a public benefit without making a profit, as defined by the IRS. If a non-profit company decides to stop doing business and dissolve, it must distribute its assets among other non-profits... Read More
Delaware Blank Check Preferred Stock
Tuesday, June 12, 2018
Every Delaware General Corporation must have one class of common stock, but it can also have a second class of stock (or more) with customized terms for the different classes. The most popular second class of stock is called preferred stock because it can contain terms, negotiated between the Board of Directors and the recipient, that are preferred over the rights of common stockholders... Read More