Protecting Personal Assets from Corporate Liability

That corporation you formed won't always protect your personal assets. Courts can "pierce

the corporate veil," meaning they ignore your company's limited liability and hold you personally responsible

for its debts. This happens if you treat the corporation like a sham. Are you mixing personal

and business funds? Did you set up the company just to dodge a legal obligation? Are you skipping

formal meetings and treating the business like your personal piggy bank? If so,

a court might decide you and the corporation are the same entity. Suddenly, your personal house,

car, and savings could be on the line.