Can I Be Personally Liable For My Company’s Debt?
When you incorporated your business, the idea was to protect yourself from personal liability. Generally, a court will not hold the members, directors or shareholders of a company personally liable for company debts. In some circumstances though, the court can hold the members, directors or shareholders personally responsible for company debts. This is called piercing the corporate veil. Ordinarily, business entities are regarded as wholly and separate legal entities, distinc