Concept · Fundraising and equity

C-corp

Also called: C corporation, corporation, ccorp, inc, incorporate

C corporation. A legal structure where the company is its own separate entity and issues shares of stock. Venture capital firms generally expect to invest in a C-corp, because shares make ownership easy to divide and hand out.

For example: A founder who started as an LLC decides to raise venture capital, so she works with a lawyer to convert the business to a C-corp first.

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This glossary is plain-language orientation, not legal or financial advice. Before you decide on a company structure, a contract, taxes or a fundraising deal, talk with a lawyer or an accountant.

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