National Nonprofits with Local Chapters Follow One of Two Principal

question 31

Multiple Choice

National nonprofits with local chapters follow one of two principal organization forms-a single corporation or a(an) :

• A) strategic alliance.
• B) venture philanthropy.
• C) amalgamation.
• D) federation.

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Definitions:

RMBCA

The Revised Model Business Corporation Act, which serves as a guide for states in drafting their corporation statutes.

Organizational Meeting

An organizational meeting is the initial meeting held by the incorporators or initial directors of a corporation to complete the formation of the business and to adopt bylaws.

Corporate Veil

A legal concept that separates the identity of a corporation from its shareholders, protecting them from being personally liable for the company’s debts and obligations.

Closely Held Corporations

Companies whose shares are owned by a small group of individuals or families, often with restricted stock sales.