An organization formed legally to perform business comprising of material resources and people, and has been licensed by the state is referred to as a corporation. Shareholders are those who own the corporation, the Board of directors are those who manage the business and the daily activities are managed by the elected officers of the corporation. There are corporate laws on tax which has to be adhered to, by the corporation. Also a corporation is required to regularly file its taxes, the corporate tax.
Other names for the corporation include Regular Corporation, C-Corporation and Standard Corporation. There are no limits on the number of shareholders in a corporation, and it can have both foreign and nationals of the country as part of the shareholders list. It could either be a publicly held corporation where the shares are offered to public on sale or a private corporation where there are no publicly held shares. In general, shareholders of a corporation will generally comprise of the founding members, few or all of the board members, venture capitalists or other private investors who are only shareholders but not part of the board.