Many of you are scheduled to have your annual meeting in May. This is a great opportunity to plan a trip and use it for a tax deduction. (see previous video post.)

Your Annual Meeting is the most important meeting of the year for your company.

At your annual meeting, you approve all the actions you made last year, you may vote on new officers and directors, and you may plan for future activities or projects. Your annual meeting minutes lists your “team”  – your lawyer, accountant, bookkeeper, etc. – in your company summary as well as listing all the major decisions you have made on behalf of your company for the past year.

But most importantly, it protects you.

How does an annual meeting protect you? Well, if it is done right, and if you have an accurate record of everything you have done over the past year, and if you have the minutes of the meeting in writing with the correct legal form, and it is signed and placed in your minute book, then you are conducting business like a business. What happens if you don’t have your annual meeting documented properly and in your company record book?

The results could be disastrous.

If you are sued your corporate veil could be pierced (even if you have an LLC!). In other words, you could lose the asset protection of your business entity and your personal assets could be in jeopardy. read more