The Wyoming Close Corporation is intended for small companies with a limited number of shareholders. This typically means those who are “close" through family relationships, friendships, or small business partnerhships. The unique relationship among shareholders means that Close Corporations are allowed to operate with fewer regulations - like partnerships. The Wyoming Close Corporation Law allows small corporations to forego many traditional corporate formalities, while still enjoying the benefits.
A departure from regular business corporations, Close Corporations do not require a board of directors, this means ongoing operations generate less paperwork. (It is important to note, however, that if you do opt for a Close Corp, then you must inform us of this when placing order, so that we can include this information in the Articles of Organization.)
The Close designation is available for both Wyoming Corporations and Wyoming LLCs . To further reduce your workload consider using our registered agent service and/or virtual office to save you the headaches.
We find the Close Corporation has several highly desirable attributes and is a popular entity for small and medium sized businesses. Do be cognizant of possible disadvantages, which include:
The IRS treats Close corporations the same as regular business corporations. The only alternative is to opt for “S” tax treatment. To know more, please refer to IRS Publication 542 along with instructions for IRS Form 2553.