FSE2202-1.2

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Legal Entity

A business organization that is recognized by the law as having a separate legal existence.

Stock or Stock Certificate

A document specifying the number of shares owned by a stockholder.

Sole Proprietorship

A legal form of organization whereby the business is owned and operated by one person.

Corporation

An artificial being, invisible, intangible, and existing only in contemplation of law; an entity that is something that has a distinct existence separate and apart from the existence of its individual members.

Stockholder

One who owns shares in a company.

Board of Directors

The governing body that is elected by the stockholders of a corporation.

Partnership

The voluntary association of two or more people who have combined their resources to carry on as co-owners of a lawful enterprise for their joint profit.

Corporation Charter

The written application for permission to incorporate that is approved by a state official.


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