Companies planning to go public one day will typically form general corporations. In these blogs, we explain all you need to know.
What Is the Role of Officers in a Delaware Corporation?
Tuesday, September 17, 2019
Delaware law mandates that an officer of the corporation must be an individual and cannot be another entity; however, Delaware does not have restrictions in place about who can serve as an officer in a corporation... Read More
What Is a Non-Stock Corporation?
Tuesday, July 23, 2019
The common use of the non-stock corporation as the vehicle with which to obtain tax-exempt or non-profit status from the IRS has led to an interchangeability of the two terms, but this can be problematic... Read More
What Is a Certificate of Incumbency?
Tuesday, April 30, 2019
The Certificate of Incumbency displays the names and positions of the corporation’s directors and officers. It also includes information related to whether they were appointed or elected, and the term of their office... Read More
Mission Statement vs Benefit Statement
Tuesday, April 23, 2019
Both Public Benefit Corporations and Non-Profit Corporations require additional language on the Certificate of Incorporation, in the form of a Benefit Statement (for a Benefit Corporation) or a Mission Statement (for a Non-Profit Corporation). There are typically differences in the language in these two statements... Read More
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