| Many of the most prominent names in business are | | | | the statutes of a state, it is seen as being a citizen of |
| organized under the business structure known as a | | | | that state. Overall, corporations are incorporated in a |
| corporation. A corporation, aside from being a means | | | | specific nation. Once incorporated, any company is |
| of organizing a business, is a way of structuring a | | | | seen as being governed by the laws of incorporation |
| company in a way that gives it many of the legal rights | | | | of the state in which it "resides," much like people are |
| of a real person. A corporation can be made of a | | | | subject to the laws of the states in which they reside. |
| single person or of a group of people. Corporations | | | | Some of the greatest areas of regulation include the |
| that are made up of a single person are known as | | | | ability of a corporation to raise funds for its support. |
| "sole corporations" while those made up of a group of | | | | One way to raise funds for investment and expansion |
| people are known as "aggregate corporations." | | | | is through the issuance of stock. The stock may be |
| In the eyes of the laws of the United States, a | | | | issued privately or publically. Once stock is issued, a |
| corporation exists as a factual person. As such, the | | | | corporation is governed by its shareholders through |
| structure of a corporation provides protection to the | | | | either direct or indirect means. Larger corporations with |
| actual people involved in the corporation itself. The | | | | many shareholders may opt to have a board of |
| limits on the liability of the individuals running a | | | | directors run the corporation under their guidance, like a |
| corporation or comprising one are some of the | | | | republican form of government. This board is expected |
| greatest benefits of a corporation. As such, the | | | | to serve the best interests of the company and |
| protections serve as a huge benefit for smaller | | | | makes all of the major decisions for the corporation. |
| businesses and organizations to incorporate. The | | | | Another option for a corporation is to be a non-stock |
| incentives are greatest for those individuals involved in | | | | corporation. This means that the corporation does not |
| a trade that is subject to a lot of litigation, like medicine. | | | | issue stock to individuals. This form, understandably, is |
| In the United States, each state is allowed to create | | | | more likely to be found in companies that comprise a |
| rules and requirements for any business that wants to | | | | single individual. |
| incorporate. Once the corporation incorporates under | | | | |