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One of the primary reasons for doing business as a corporation or limited liability company is to avoid personal liability for the debts incurred by the business; however, merely incorporating or organizing as a limited liability company does not guarantee protection. You need to conduct your company's business in a way that respects it as a separate legal entity and maintains a clear separation between the company's business and your personal affairs. The body of law with respect to corporations has evolved over decades of court cases in Connecticut and other states.
Do hold your business out to the public as a separate legal entity. Your stationary, business cards, purchase order forms, invoice forms, checks, contracts and the like should all include the full legal name of the business entity, including the appropriate appendage indicating legal status
Do make clear the capacity in which you are acting. When acting on behalf of the company, be clear to the parties you are dealing with that you are acting as an agent or representative of the company, not individually. Your business cards, correspondence, contracts and the like should indicate your status as an agent or representative of the company
Don't commingle funds. The company should have its own bank account or accounts, which should be used for all company business and should not be used to pay your personal expenses
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