Why is it necessary to maintain my corporate record book?
California Corporations Code §1500 states: “Each corporation shall keep adequate and correct books and records of account and shall keep minutes of the proceedings of its shareholders, board and committees of the board …”
Are your personal assets at risk? Failure to maintain that documentation, known as your corporate formalities, could make YOU personally liable for any actions taken by the corporation.
It has been estimated that 60% of small closely held corporations would fail to protect their owners in the event of a lawsuit or an IRS audit due to inadequate corporate records.
Let a corporate attorney handle the paperwork for you!
Are Your Records Current? We realize that when running a company, corporate paperwork is often the last thing on your list. However, if a lawsuit hits the result could be devastating if you have let your paperwork slide.
To address these concerns and to assist you, we have developed our Corporate Compliance Checkup where, for a low price of $399, we will conduct a review of your corporate record book to determine if:
- The integrity of your corporate shield is maintained by the proper follow through of corporate formalities:
- Initial and Annual Shareholder meeting minutes
- Initial and Annual Board of Director meeting minutes
- Bylaws (your corporate governing document)
- Proper transfer of assets from sole proprietorship to the corporation
- Subchapter “S” election filing has been made
- Issuance of stock certificates to shareholders
- Internal Revenue Service (Forms SS4 and 2553)
- California Department of Corporations (Form 25102 (f))
- California Secretary of State (Statement of Information)
Please note that the above price does not include legal fees expended in completing any required work.