What other information does the corporation have to provide to its shareholders?

Within 120 days after the close of its fiscal year, the corporation must send its shareholders an annual report containing a balance sheet as of the end of that fiscal year and an income statement and a statement of cashflows for that fiscal year, accompanied by any report on the financial statements by independent accountants or, if there is no report, the certificate of an officer indicating that the statements were prepared without audit from the books and records of the corporation. See Cal. Corp. Code § 1501. Unless otherwise provided in the corporation’s articles of incorporation or bylaws, the corporation may send the annual report to shareholders by electronic transmission. The shareholder’s right to receive an annual report may be enforced in a court action if necessary. If the corporation’s failure to provide the annual report was unjustified, the shareholder may recover her reasonable expenses, including attorney’s fees, in bringing such an action. In a corporation with less than 100 shareholders, the annual report requirement may be waived in the corporation’s bylaws, which is a good idea to save a closely held corporation the time and money involved in producing the report.