Deciding to incorporate was one of the most important business decisions youve had to make. You most likely chose the incorporation type that offered you the greatest limited liability protection and other advantages. But, did you know that courts can take away limited liability protection if it is determined you have not been operating your corporation properly? This is called piercing the corporate veil.
How strong is the veil of protection around your business? Not sure? Its not too late to protect your business. Here are some things you can do to get your corporate affairs in order.
1. Follow the rules and regulations closely. Adhere to state requirement regarding the organization and operating a corporation.
2. Hold regular corporate meetings with shareholders. Be sure to keep records of meeting activities, minutes and decisions made.
3. Keep good records in a corporate book. Use this book to keep incorporation records, maintain meeting minutes and shareholder information.
Protect the business advantages garnered through incorporation. Need a little help? Learn more about the corporate veil and protecting your corporate structure in the MaxFilings Incorporation Knowledge Center. Also, find out how MaxFilings Corporate Kits can help you secure your corporate status.