Unpublished Flashcard
This flashcard is not publicly visible and is only accessible to admin users.
🏢
Corporations • Formation Requirements
CORP#005
Legal Definition
Subscribers are persons or entities who make written offers to buy stock from a corporation not yet formed.
Plain English Explanation
A subscriber is someone who is interested in being a shareholder of a corporation but can't actually buy any shares since they don't yet exist (because the corporation hasn't been formed yet). Thus, a subscriber has agreed to buy stock at a later point when the stock is available for purchase.