California Corporation Help

[Tax Prep by Deb]

Hopefully someone can help me with this. I do bookkeeping for a corporation (a very small one) and one of the officers would like to resign from the corporation immediately, (I believe she is also a shareholder, as this business was changed from a partnership two years ago to a corporation and she now wants her name off anything to do with the corp). My question is basically what needs to be done?

When the coporation was formed each of the positions were filled by her partner, herself, and several of her grown children. It is my understanding that all want to resign except her original partner. Can he hold all of the remainder of the positions, or will he need to find someone else to fill those vacancies?

I guess my real question is two fold, how do you resign and is there something that needs to be filed with the State? Also is it possible for one person to own the corporation?

Any feedback would be greatly appreciated. I have little to no knowledge of anything dealing with a corporation. However I am learning.

Deb!

[kcjenkins]

Well, Deb, you don't have your state listed, so I don't know what your state's procedures are, but I can answer your last question. Yes, of course, one person can own all the stock in a corporation. Question is, are they going to sell their shares to him? In most states, if there is only one shareholder, he can hold all the offices. But check with the state about what is required when officers resign, and also what is required with a corp with only one shareholder.

[Tax Prep by Deb]

Sorry KC,

I've fixed the question about where I'm from. I'm in California. I tried researching the Secretary of State site for Corporations, but I couldn't find what I was looking for.

I'm not sure what my client plans on doing with her shares, I would assume that she probably will sell them to the other person, but that really isn't what I'm trying to find out.

I'm basically just trying to find out what steps to take to get her name off the corp.

As always I greatly appreciate you taking time out of what I know is a busy schedule. That's why I love this board! Everyone is so helpful!

Deb!

[kcjenkins]

Call their help line, they really are helpful about answering that sort of quesiton.

[Tax Prep by Deb]

Call their help line, they really are helpful about answering that sort of quesiton.

Thanks KC.

I placed the call today and found out is a very simple procedure. Thanks Again!

Deb!