Unformatted text preview: has full Liability), Wealthy Limited Partners Corporation Owned by Shareholders, Shares Easily Transferable. Shareholders Elect Board, Board Chooses Company Executives Potentially Infinite Liability Limited to Invested Capital Corporate Taxes, Personal Taxes on Capital Gains(Losses) and Income Distributions Relatively Easy. Access to Public Markets. 3 Characteristics of Corporation responsible for its popularity: Markets 1) Access to public Capital Markets (Equity and Debt) Primary Market (IPO, SEO) 2) Limited Liability status of ownership Secondary Market (ex. NYSE, NASDAQ, AMEX) 3) Secondary Market mechanism for transferring ownership (Liquidity of Investment) Finance 254 Business Forms & Their Characteristics © 2003 Brian J. Henderson & Joseph M. Marks...
View Full Document
This note was uploaded on 09/19/2009 for the course FIN FIN 221 taught by Professor Fin221 during the Fall '09 term at University of Illinois, Urbana Champaign.
- Fall '09