Understanding Business Structures
by Veronica Stone on May 22nd, 2007
General Corporation A general corporation, also known as a "C" corporation, is the most common corporate structure. A general corporation may have an unlimited number of stockholders. Consequently, it is usually chosen by those companies planning to have more than 30 stockholders or large public stock offerings. Since a corporation is a separate legal entity, a stockholder’s personal liability is usually limited to the amount of investment in the corporation and no more. Subchapter S Corporation A Subchapter S Corporation is a general corporation that has elected a special tax status with the IRS after the corporation has been formed.... Read more »