
Incorporating: Shield Your Assets
• Tax Savings »
• Fringe Benefits »
• Asset Protection (below on this page)
Once you have formed a corporation and you are operating your business through the corporation, the corporation is responsible for everything that goes on in your business, either good or bad. From this viewpoint, it is easy to see why a corporation insulates you from liability.
If you continue to operate your corporation on a regular basis in a manner that treats the corporation as a separate entity for liability and tax purposes, then you can be comfortable that you are free from personal liability for acts of the business.
When you remain free from personal liability, your personal assets cannot be used to satisfy debts, obligations or liabilities of the corporation. Thus, all of your personal property, including real estate, automobiles and stocks and bonds, is protected from seizure.
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