Corporate Liability - What does it mean?

It is very common for business owners to receive their corporate renewals in the mail and not know what to do with them or what the renewals are for. In the state of Florida the deadline to renew without penalty is May 1st of each year.  Most people do not realize how important this renewal is for their business. 

As a business owner, it is always the objective to limit your liability solely to the business and avoid personal liability altogether.  However, if you fail to renew your business entity (i.e. LLC, INC, or PA) then you may be opening the door to personal liability.

Most business owners do not understand the importance of corporate formalities and why it is so important to make sure you preserve these formalities. The most commonly violated formalities are commingling of funds and assets. A perfect example of commingling funds is paying for groceries out of your corporate account. An example of commingling assets is using the business vehicle for personal use.  

A main benefit of incorporating your business is to separate the business entity from yourself and minimize personal liability. The moment that you and your business become one in the same (i.e. commingly of funds or assets), you assume the risk of personal liability.

You do not want to be one of the many businesses that find themselves in this situation. If you would like to learn more information on this topic, call us at The Alvarez Law Firm. We will be able to assist you with your corporate renewal, maintaining corporate formalitites, and reducing your personal liability.

Sincerely,

Rachel Alvarez
The Alvarez Law Firm A Professional Association

~Remember, the best compliment we can receive is referring us to your friends and family.~

What does Foreclosure Really Mean?

Most of us have become familiar with the term Foreclosure. However, most homeowners who are being foreclosed don't know what that really means.

A simplified definition would be  best described as: a time when a borrower cannot repay a loan and the lender seeks to sell the property. In Florida  most foreclosure cases are for two reasons: for title and debt.

The lender not only has the right to collect the debt that was owed to them but they are also entitled to clear the title and take away the interest that any party may have on title for this property. Most homeowners get overwhelmed and pretend that this foreclosure action is not against them. However,  the moment you receive a foreclosure summons you should immediately seek legal counsel to learn what your legal rights are. Each case is unique as well. It is important to know that your attorney has listened to all of the facts before giving you your options. At the Alvarez law firm we assist our clients through these difficult times.  It is our job to help you understand the law.

Please contact our office for a free 30 min consultation regarding foreclosure defense and alternatives.  

Sincerely,

 

Rachel Alvarez
The Alvarez Law Firm A Professional Association

~Remember, the best compliment we can receive is referring us to your friends and family.~