A preincorporation share subscription is:

A) a contract binding the corporation at the time of incorporation.
B) irrevocable by the subscriber for six months after the subscription has been issued.
C) a contract binding the corporation at the time of its issuance.
D) preferred by modern corporate promoters over a post incorporation subscription.

Preincorporation Subscription

An agreement by an investor to purchase stock in a corporation, made before the corporation is legally formed.

Post Incorporation Subscription

Agreements to purchase stock in a company made after the company has been incorporated.

Corporate Promoters

Individuals or companies that take the initiative in founding and organizing the business of a corporation, including arranging its incorporation and securing capital.