Documenting Business Actions
You wrote documents to form your company, or you paid a lawyer to do it for you. You paid money to the state to make it official.
You don’t want to be liable for the company’s debts or judgments. It’s one of the main reasons you went through the hassle of setting the company up.
And so, you must preserve your company’s corporate status. It’s the reason you formed your corporation or limited liability company.
Your corporation could be invalidated if you don’t take care to document corporate decisions.
The company does not need to document every decision. But the board should approve important ones, like long term contracts, leases, and large purchases. The approval should be written down and kept with the company records.
Documenting important business actions is vital to preserving the corporation’s identity. That in turn keeps it separate from your identity.
Every incorporated company requires a registered agent. Visit https://rapidregisteredagent.com for information about the services we provide.