A corporation whose shares are not freely traded and are held by a limited number of people.
A corporation that is owned and operated by a few individuals, usually family members.
(statutory close corporation) A corporation whose ownership is held by a single person or a small group of people and where the shareholders are involved in the conduct of business. Statutory requirements for close corporations vary from state to state, but typically limit the number of shareholders and require that the shareholders enter into a written agreement concerning voting and other rights. To learn more about close corporations, click here.
A corporation with relatively few shareholders and no regular markets for its shares. Close corporations usually have never made a public offering of shares and the shares themselves may be to subject to restrictions on transfer.
a corporation owned by a few people; shares have no public market
a business organization that typically has a small number of stockholders, the absence of a market for the corporation's stock, and substantial shareholder participation in the management of the corporation
an option for a corporation which has very few stockholders
a regular corporation with special provisions, which may be set out in the certificate of incorporation
a type of company, which is flexible and cheaper to form and administer than a normal incorporated company
a variation of the general corporation, where the stockholders, directors and officers are typically the same people, and where they desire to remain a small tight-knit group, without a formal board of directors involved in the decision making process
a Vermont corporation that is either an S or C corporation for federal tax purposes that, provided certain conditions are met, dispenses with the formality of having decisions approved by both shareholders and corporate directors
a public corporation in which all of the voting stock is held by a few shareholders, for example, management or family members. Although it is a public company, shares would not normally be available for trading because of a lack of liquidity.
A Corporation whose shares cannot be easily transferred without the approval of the other shareholders. Managed by shareholders, instead of Board of Directors. Normally used for small businesses and family-owned business, in conjunction with a Subchapter S election.
A corporation that elects in its articles of incorporation to be registered under the close corporation statutes of their state of incorporation. Some state close corporation statutes provide for a maximum number of shareholders. In addition, close corporation statutes may eliminate or limit the powers of the board of directors, prescribe pre-emptive rights to the shareholders or relax the corporate formalities. Exact specifications vary by jurisdiction. Not all state statutes provide for a close corporation provision.
A close coporation has less than 50 shareholders and elects in its artislec of incorporation to be treated as a close corporation. The state in which the close corporation is formed must have a close corporation statute. Close corporations can eliminate or limit the powers of the board of directors, and corporate formality requirements are relaxed.
Also called "closely held" this refers to a company with a very limited number of owners. In some states a separate filing scheme for close corporations is permitted. Close corporations are exempted from some of the requirements of larger companies.
A small number of individuals owning a corporation. By inserting a statement in the articles of incorporations, a corporation can elect to be close corporation.
A corporation owned by a small number of individuals and these corporations must elect to be close corporations by inserting a statement in their articles of incorporation but the laws of each state typically permit close corporations to be operated more informally than other types of corporations.
A corporation owned and operated by a few individuals, often members of the same family, rather than by public shareholders. State laws permit close corporations to function more informally than regular corporations. For example, shareholders can make decisions without holding meetings of the board of directors, and can fill vacancies on the board without a vote of the shareholders.
A corporation owned by a small number of individuals. Corporations must elect to be close corporations by inserting a statement in their articles of incorporation. Some state close corporation statutes provide for a maximum number of shareholders. In addition, close corporation statutes may eliminate or limit the powers of the board of directors, prescribe preemptive rights to the shareholders or relax the corporate formalities. Exact specifications vary by jurisdiction. Not all state statutes provide for a close corporation provision.