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In general terms, the principals of a corporation are the owners or investors, referred to as shareholders or stockholders. The agents of the corporation are generally considered to be the board of directors, officers or other persons the corporation authorizes to act on its behalf.
The legal structure of a business influences many aspects of how it operates, including the way the owners make money and pay taxes. A corporation is a type of business that sells shares of stock to investors as a means of raising money to finance business programs and expansion.