Arkansas Code § 15-4-917 - Corporation to Be Nonprofit -- Use of Revenues

(a) Each corporation organized under the provisions of this subchapter shall be operated without profit to its members. No dividends shall be declared at any time on the common or preferred stock of such a corporation.

(b) All revenues of the corporation shall be devoted to the payment of interest on the bonds of the corporation, to the maintenance of reserves, to the establishment and maintenance of a sinking fund for the retirement of debentures, and to transfers to earned surplus, substantially in the order named, but as may be more fully provided in the bylaws of the corporation.

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Last modified: November 15, 2016