“Close Corporation”: Probably Not The Right Choice
One type of entity people sometimes ask us about is the California statutory “close corporation.” In general legalese a “close corporation” means a closely held corporation, a corporation that has only a few shareholders, usually people who work for the corporation.
But there is a California statutory creation for small closely held (small number of shareholders) corporations created by the California legislature in the early 1990’s for people who wanted their corporation that functioned like...