1. The corporation does not protect a shareholder from liability arising from his or her own negligence, nor does it prevent claims against an individual who personally guarantees an obligation of the corporation.
  2. As of the date of this memo, a good general checklist for starting a business could be found online at http://whynevada.com/newbusinessportal/checklist.asp. By using the drop-down box, additional checklist items can be displayed for each county in which the company will do business.
  3. Anyone receiving stock for services must report the value of the stock as taxable compensation on his or her income tax return.
  4. It can be acceptable for a shareholder, officer, or director to loan money to the corporation or for a corporation to loan money to a shareholder, officer, or director, but only if permitted by the articles of incorporation, bylaws, and a resolution adopted without the participation of the affected shareholder officer, or director (unless he or she is the only one, and even then only if proper documentation is done).
  5. NRS 78.315(2).
  6. NRS 78.320(2).
  7. Legally disregarding a corporation is sometimes referred to as “piercing the corporate veil” to make shareholders personally liable for company obligations. If the shareholders ignore the corporation, so can others. For this reason and others, a home owned by the corporation cannot be used as a residence by a shareholder, officer, or director unless the person using the home pays fair market rent or is treated as receiving compensation or a dividend equal to the fair market rent.
  8. Because a guarantor or co-obligor is usually the principal shareholder, the term shareholder is used here in that context, but the guarantor or co-obligor can be anyone with resources acceptable to the creditor.