Articles of incorporation, also referred to as a corporate charter, are legal documents that establish the creation and structure of a corporation. They are filed with the appropriate government agency to officially form a company. An integral part of the incorporation process, these articles outline key information about the corporation, including its name, purpose, registered address, and the types of activities it is authorized to undertake.
The articles of incorporation typically include details about the corporation's capital structure, such as the number of authorized shares and the par value, if any. Additionally, they often specify the class and rights attributed to different types of shares, as well as any limitations or restrictions imposed on shareholders.
In addition to the fundamental corporate information, the articles of incorporation may also include provisions related to the governance of the corporation. This often includes guidelines for the board of directors, information on how shareholders' meetings are conducted, and rules for making amendments to the articles in the future.
These documents serve as a legal framework for the corporation, and they are intended to protect the interests of both the company and its shareholders. By clearly defining key aspects of the corporation's structure and operations, the articles of incorporation provide a solid foundation for the business to function and make decisions within the boundaries of the law.
