A corporation is created when it is incorporated by a group of shareholders who share ownership of the corporation, represented by their holding of stock shares, and pursue a common goal.
What are the 3 steps in forming a corporation?
A corporate can be formed as a for-profit or a not-for-profit entity. For-profit entities form the majority of corporations, and they are formed to generate revenues and provide a return to their shareholders, according to their percentage of ownership in the corporation.
Why is a corporation formed?
A corporation is formed upon the issuance of a Certificate of Registration by the Philippine Securities and Exchange Commission (SEC) together with the approval of the applicant's Articles of Incorporation and By-Laws. A corporation must have not less than five nor more than fifteen directors.