Can a minor be a sole shareholder in a company?
Asked by: Drew - 26 July, 2011
Hello,
I am a 16 year old living in Ontario, Canada. I am currently running a sole proprietorship but am interested in incorporating for liability reasons among others.
In what state (if any) can i legally incorporate a company? If i cant, can my parents incorporate it and hold shares in trust for me? Can i be a director or officer?
Thanks
Hello,
I am a 16 year old living in Ontario, Canada. I am currently running a sole proprietorship but am interested in incorporating for liability reasons among others.
In what state (if any) can i legally incorporate a company? If i cant, can my parents incorporate it and hold shares in trust for me? Can i be a director or officer?
Thanks
Answered by: Roman Fichman, Esq. - 29 October, 2011
Drew,
Delaware and New York (for example) do not have an age qualification, so a minor can incorporate a company and own shares. You will need your parents, a legal guardian or a trust to convey or sell these shares, since this requires a minor to execute a written agreement.
Drew,
Delaware and New York (for example) do not have an age qualification, so a minor can incorporate a company and own shares. You will need your parents, a legal guardian or a trust to convey or sell these shares, since this requires a minor to execute a written agreement.
