As per Lawkidunya, Pre-incorporation refers to the period of time before a corporation is formally incorporated or registered with the appropriate government agency.
During this period, individuals who are planning to form a corporation may enter into agreements or contracts with each other to govern their future relationships and obligations once the corporation is formed. These agreements or contracts are known as “pre-incorporation contracts.”
Pre-incorporation Contracts can be useful for outlining the roles and responsibilities of the parties involved in the future corporation, as well as establishing the terms and conditions under which the corporation will operate. However, these contracts may not be legally binding until the corporation is formally incorporated, and they may be subject to legal challenges if they are not properly structured or enforceable.