What is the definition of liability protection?
When they say that an Incorporation or LLC will give me liability protection, what does that mean?
In this audio snippet, you'll hear about:
- Your personal assets are not going to be touched when your business gets sued
- As long as you follow the corporate formalities
Audio Transcript
Travis:
OK, excellent. I know that we went over this in the Benefits call, but
just to be clear, what is the definition of liability protection?
Jake:
Liability protection is where your personal assets are not going to be
touched when your business gets sued. They can only go after your
business assets; they cannot go after your personal assets –– as long
as you follow all the corporate formalities that you have to follow.
Travis:
Of course, of which there are many. But if you know about them, then
they're not that difficult to keep in check.
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