Function

• Articles of incorporation will usually describe the initial capital structure of the business. In general, such information would include the number of authorized shares, any par or nominal value, and how many shares of stock are to be issued at the inception of the corporation.
  
  

Articles of Agreement

• Articles of incorporation for non-profit organizations are commonly referred to as articles of agreement.
  
  

Features

• The articles of incorporation will list the names of the incorporators of the business as well as those who will serve initially as its officers or directors. The broad purposes for which the corporation or organization is being established will also be identified.
  
  

By-Laws

• By-laws establish the terms of directors, how frequently they will meet during the year, as well as the manner in which they will be elected. The by-laws also indicate how frequently shareholders meetings shall occur.
  
  

Considerations

• In some closely-held corporations, the by-laws may establish special quorum requirements for voting on special matters as well as listing any extraordinary corporate actions, such as a merger or acquisition with another company, that may require shareholder approval.