Glossary of most frequent business formation terms
A B C D E F G H I J L M N O P Q R S T U V W
-I-
Incorporation
Incorporators
Indemnification
Interest
Investment Bankers
Involuntary dissolution
Internal Revenue
Service (IRS)
Issued Shares
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Incorporation
The act of
forming, creating, or organizing a corporation under
the laws of a specific jurisdiction by filing the
required documents and allowing it to become a
corporation.
Incorporators
A person who
joins with others to form a corporation. Or the person(s) or entity that
perform the act of incorporation and who sign the articles of incorporation and
deliver them for filing. The incorporator can take corporate actions before
directors and officers are appointed.
Indemnification
An expressed
or implied contract by which corporation pay expenses of its directors,
officers, and employees who are named as defendants in lawsuits alleging that
they offended some duty in their service to or on behalf of the corporation.
Note that directors and officers may also be paid for the expenses they
incurred in the process of forming the corporation.
Interest
Partial or
total ownership of a Limited Liability Company. Analogous to the shares in a
corporation.
Investment Bankers
An individual
or institution, which acts as an underwriter or agent for corporations issuing
securities, but does not accept deposits or make loans. Most also maintain
broker/dealer operations, maintain markets for previously issued securities,
and offer advisory services to investors. Also called investment bank.
Involuntary dissolution
The
dissolution forced upon a corporation by a court or administrative action.
Internal Revenue Service (IRS)
The federal
agency responsible for administering and enforcing the Treasury Department's
revenue laws, through the assessment and collection of taxes, determination of
pension plan qualification, and related activities.
Issued Shares
Shares of corporation that have been actually issued and
are not canceled.
