Business

Closely Held Corporation: Pros of a Closely Held Corporation

Written by the MasterClass staff

Last updated: Feb 25, 2022 • 4 min read

The Internal Revenue Service (IRS) lays down tax limitations around closely held corporations, but the actual definition of these business entities and the business laws governing them can vary somewhat from state to state. While a closely held corporation can be a publicly traded company, most closely held corporations are private entities.