CORPORATIONS

WHAT IS A CORPORATION?

• A Corporation is a business recognized by law as a separate legal entity separate for the owners.
• Has stockholders

TYPES OF CORPORATIONS

• Closely Held Corporations- privately owned, most times by a family.
• Publicly Held Corporations- Many shareholders. You can buy stock on the stock exchanges.

ADVANTAGES

• Limited Liability
• Easiest to raise financial capital.
• Long Life
• Transferable Ownership

DISADVANTAGES

• Loss of Control
• Double Taxation
• Most difficult to start
• Most Legal Restrictions

EXAMPLES

• Chick-fil-a
• McDonalds
• Best Buy
• Target
• Walmart