Final answer:
Articles of incorporation are a legal document necessary for establishing a corporation, outlining key features such as the corporation's name, type, registered agent and office, and shares authorization.
Step-by-step explanation:
Articles of Incorporation
The articles of incorporation are a document necessary for the legal establishment of a corporation. These articles serve as a charter to document the establishment and define the primary characteristics of a corporation as it operates under the law. This document is required for a business to be legally recognized as a corporation. Four basic features typical to the articles of incorporation include:
- Name of the corporation: A unique legal name that is not already in use by another corporation.
- Type of corporation: Whether it is a profit or non-profit entity, general stock, or a close corporation.
- Registered Agent and Registered Office: The name and address of the individual or service authorized to receive legal documents on behalf of the corporation.
- Shares authorization: Information pertaining to the stock of the corporation, including the number of shares the corporation is authorized to issue and the value of each.
In addition to these features, the articles of incorporation might also include the corporate purpose, information about the board of directors, and the duration of the corporation if it is not intended to be perpetual. Once filed with the respective state authority, the corporation comes into legal existence and can engage in business under the corporate name.