The Year is One – The Importance of Corporate Formalities

The Importance of Corporate Formalities
While business incorporation is important for any business owner in order to limit his or her personal liability for business debts, it may not always be enough as far as protection is concerned. Another aspect of protecting oneself, brought to life recently by The Business Law Post, relates to corporate formalities, which are important even to one-person corporations and LLC owners. Should these not be observed, the owner may still be liable for company debts.

The following are all considered corporate formalities:-

Bylaws: a set of rules formed by the company that governs how the corporation is run.
A Board of Directors with Formal Meetings: a BOD should be established by every corporation. This BOD should meet on a regular basis and minutes should be taken and recorded at each meeting. At the next BOD meeting, the minutes should be approved and adopted by the board to ensure accuracy. Every major decision should be added to the corporation’s bylaws.
Shareholders Meetings: all company shareholders should meet regularly – probably less frequently than the BOD – with the same minutes process outlined above. Get the best assistance from a best llc attorney.

A Separate Bank Account: at no point should personal and company funds intermix.
Stock Ledger: this ledger should reflect stock ownership along with the names and addresses of all shareholders. Join เข้าร่วม UFABET สำหรับการเดิมพันออนไลน์ระดับพรีเมียร์.
A Name: while it’s a given that each corporation would have a name, all business should be conducted under this name whether by the owner, a director, an officer or other employee.
Clear Assets, Filings, Taxes: all assets, filings and taxes should be handled in a formal manner to ensure legal operations and overall standing. You can visit acclime.com to find more about the r&d tax incentive australia.
In all situations, it is important to follow corporate formalities at all times to ensure coverage under your corporation status.

7 Kommentare

  1. 01

    You rendered it easier by far to rush through every single goddamn article in one huge link-orgy ? If that is your concept of „easy“ then i don’t even have the slightest grasp of doing things the easy way (yeah, i read the content of almot every link, it’s not like drunkards are busy people.. or picky).

    The bit about you buying yourself a gun reminded me of a bit by Dane Cook in which he finally answered the one big question: what do men think is better than heaving sex ? Taking part in a heist, period (as i wrote this a shy ‚plop‘ sound notified me that 1gb worth of porn finally arrived).

    So much for the (albeit incoherent) content, now for the nerdy part of your article: you’re quite the hard- mouthed, slightly cynical writer most people fail to be, seemingly honest in your views (well, we all tend to lie about the splendor of our lives..) and critical of your own qualities (yes, i am sort of sucking up to you).

    There does remain one question i’d like to see being answered:
    why the fuck did you start writing in the first place ?

    I have way too much coffee in my system..

  2. 02

    Word of the day: link-orgy.


    Thank you for your disjointed, caffeine-induced comments. I’m glad that you could take time from your chronic masturbation to write them. At least, I hope you did.

    I think I started writing because it looked easy, and being a writer seemed like a cool, intellectual thing. It turns out to be hard and mostly thankless, even self-destructive for some people. It is rewarding though, and if it weren’t for Spreeblick I wouldn’t be doing as much of it.

    Speaking of writing and porn, this is a good article about both:

    „My dialogue was stilted and forced, and none of it was as funny as I’d once envisioned. I tried to tell myself that I’d intended it this way. It was all part of my plan to create the perfect porn parody. But deep down, I knew that I hadn’t been quite so cunning. “

  3. 03

    Talk about being sleep-deprived, buddy.
    Why, sure, I only whack off to the tiles in my bathroom, I need both hands when writing something.

    I myself started writing 4 years ago as a means of keeping me from killing someone, intellect is something I try to avoid, causes too much trouble and won’t get you laid in a decent way (heck, you don’t want her babbling about how cool a writer you are while she’s giving.. kind of spoils the whole thing).

    There are about 40 people currently reading the stuff I write (since my team lacks something they call „a good hook“.. I think that they are full of shit) and I think that I can live with that (at least they read it and get lost again.. I just hate it when someone tells me ‚good story‘ and whatnot).
    I reckon (reckon, a word I’ve never used before) that after attracting enough readers you start to write for them and not for yourself (aren’t we just a whiny bunch ? „Blow me but don’t look at me while doing it“), which sort of fucks you up in a not-so-good way; as someone once told me, if you want someone to cease doing something he or she likes doing, pay her. Her motivation will soon drop to zero and the infamous ‚whore mode‘ kicks in.

    The article was a good read, thanks for the link.
    Looking forward to reading more spunk of yours.

  4. 04

    Hey Charles,

    I see I have made a cameo appearance! Yes, NO is returning back to normal.

    A few of my thoughts on writing:

    Writing has a time component. For those who don’t write, or are learning to write (me), write when the idea or emotion is first present. Why? Because writing is not solely an iterative process.

    What does that mean? When I have an idea or a brainstorm or an emotional recollection, the common notion is that writing the thought down is iterative. You take the thing from your brain and put it on paper. A one-off iteration. True perhaps. Writing however is so much more. It just happened to me now: an instance of the generative nature of writing.

    What does that mean? It means that when you are iterating the thoughts and notions that first inspired you to write (ie, taking the thing from your brain and putting it on paper), new thoughts and notions are generated. What was my generative event? That iterating from a mental image or emotion to a crafted sentence is clearly and necessarily a never-perfect recordation of the original. Why? We think in pictures, we are moved by emotions; these are not natively textual events, simply to be recorded. They must be interpreted by our „semantics machine“ before some semblance of the event can be captured in words. It is in this „semantics machine“ that new thoughts are generated.

    In addition to the iterative and generative components to writing, there is a third which is perhaps more time-sensitive than the other two: the cathartic nature of writing. I don’t believe I have read a „success“ author that did not include writing things down (goals, self-perceptions, mission statements, etc.). What happens when you write down a goal? You cease being the goal. What happens when you write an „anger letter“? You cease being the anger. If all of your goals, prejudices, ideas, are swirling around in your brain, where does your „self“ end and those „things“ begin? It is hard to find the boundary. Place those „things“ outside of your „self“ and you can begin to see what you are not, and who you are.

    So why „write on time“? When you find yourself in that „inspired“ moment to capture an idea in words, you are also primed to have unique generative and cathartic writing events. As you depart from the „inspired“ moment without writing, the generative and cathartic gems depart with it. Here’s the kicker: you can (and quite frankly should) go back and attempt to recreate the „inspired“ moment, but you will never, ever know what you truly lost.

    Keep writing, Charles!


  5. 05

    Hey Ken,
    Definitely words to the wise. Thanks for posting!