If you choose to incorporate your business or organization, you may think the worst of it is filing the articles of incorporation (or, of course, filing your taxes). You may think your corporation protects you from financial and legal liability. However, corporations have additional requirements that other kinds of businesses don’t, and if you’re not diligent about fulfilling them, there can be serious legal consequences. Continue reading “The Obligations of Incorporation”
Some people have joked about the idea of corporations being people. It sounds like a ridiculous enough statement, and on its face, it is; a business is not a human being, no matter how generously you stretch the definition of either. However, legally speaking, it’s true that corporations are people (sort of), and if you’re running your own corporation, it can help to understand how corporate personhood works. Continue reading “Corporate Personhood, Explained”
As the owner of a business, it is important to ensure that all incorporating documents and legal requirements are in order. One way to structure a business is to create a Limited Liability Company (LLC), as it is considered to be the least complex way to form a business and more flexible than other types of corporations. By definition, an LLC prevents the members of the company from being held personally liable for the debts and liabilities of the company. Essentially, this means that the personal assets of the company’s owners are kept separate from the assets of the company and the company’s owners do not have to pay the debts or liabilities of the company from their personal bank accounts.
Continue reading “What is a Limited Liability Company (LLC)?”