In each case, the owners of a corporation (called "shareholders" or "stockholders") are not liable for the corporation's debts (absent factors permitting "piercing of the corporate veil" on the "alter ego" theory). Fairly simple to create, absent special requirements; thus the legal fees for forming a corporation will likely be less than those for forming a limited partnership or limited liability company. May be formed without extensive detailed agreements governing the structure and operation of the entity (since it is possible to rely upon the General Corporation Law).

There is a well recognized and extensive body of corporate law dating back centuries. With corporations, management is separated from ownership. The owners elect directors; directors nominate officers who are responsible for the daily management of the business. Management may also be governed and controlled by voting trusts, shareholder agreements, voting and non-voting stock ownership, management agreement, committees of the board of directors, and provisions in the corporation's articles of incorporation requiring supermajority votes of the board or of the shareholders to undertake certain actions. Corporations have perpetual existence (unless the articles of incorporation provide otherwise).