Seeing the need of a more refined more business structure to support The Residents' work, The Cryptic Corporation was formed in 1976 by four of their long time acquaintances: John Kennedy, Jay Clem, Hardy Fox and Homer Flynn.

Topping the Cryptics' agenda was the complete reinvention of Ralph Records. A number of experienced new people were hired including Tom Timony, Sheena Timony, Helen Purdum, Graeme Whifler, and Doug Kroll. Having organized a competent staff, the company then focused on signing several new acts specifically aimed at capitalizing on the then current New Wave music trend.

But by 1982, as the New Wave fad began to fade, Kennedy and Clem decided to explore other areas outside of the music business (record companies were not doing well at the time). Consequently, Fox and Flynn, the remaining officers, purchased their stock with the idea of focusing their energy on the flourishing career of The Residents. Concentrating on the career demands of a busy band, the two remaining Cryptics moved the business away from the narrow needs of a record company, dealing instead with record contracts, touring, accounting, legal needs, as well as career guidance and direction.

The company maintained this structure for over thirty years until Fox's retirement In 2016. Flynn, with the support of two new partners, MVD (Music Video Distributors) in Philadelphia and Cherry Red Records in London, continues to run The Cryptic Corporation.