Larry O. Brockman, Attorney at Law
Larry O. Brockman
Attorney at Law
Sole Practitioner Location: Swansea, Illinois
Corporations
A corporation is a charter by the State that creates a separate legal entity in which to conduct business. As a separate "legal entity," under Illinois Law, the corporation may own the business property, employee workers, earn income and conduct the business of the corporation.
Corporations are owned by shareholders who purchase stock in the corporation. Additionally, a corporation presents the owners/shareholders with an excellent means of shielding their personal assets from liability as well as facilitating the business' continuation beyond its original owner's death or retirement.
Under the Business Corporation Act, 805 ILCS 5/1.01 et seq., the Secretary of State may issue a charter or articles of incorporation. The corporation elects officers and directors who conduct the business of the corporation. The shareholders and officers of the corporation are to hold annual meetings, keep minutes and maintain corporate records and bank accounts separate from those of the individual shareholders.
It is important to separate corporate funds from those of the shareholders/directors. In the event that funds have not been segregated, the corporate shield may be pierced and the shareholders may be held liable for the debts of the corporation.
5 Executive Woods Court
Swansea, IL 62226
Phone: 618-233-5052
Fax: 618-233-5396
