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Smart Way #5: Make sure you properly convene and document director/manager meetings.
As with shareholder meetings, director/manager meetings should be held at least every year. If you hold these meetings more than once a year, you further reduce your risk of being held personally liable. As with shareholder meetings, a proper director's meeting may require timely notices and waivers. Remember to check the company's bylaws. In addition, you must keep and sign minutes and resolutions relating to important matters. Failure to follow corporate formalities by having proper director/manager meetings is a leading factor in piercing the veil and holding owners personally liable.
