Professional management

Professional management - Professionalmanagement

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Professional management Investors in a corporation need not actively manage the business, as most corporations hire  professional managers to operate the business. The investors vote on the Board of Directors who  are responsible for hiring management. Ease of capital acquisition A corporation can obtain capital by selling stock or bonds. This gives a corporation a larger pool of  resources because it is not limited to the resources of a small number of individuals. The limited  liability and ease of transferring ownership rights makes it easier for a corporation to acquire capital  by selling stock, and the size of the corporation allows it to issue bonds based on its name.
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This note was uploaded on 11/15/2011 for the course ACCT 2310 taught by Professor Staff during the Spring '09 term at Texas State.

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