🛡️assessment≈ 45s · 8 inputs

Veil-Piercing Risk Score

Interactive Tool

≈ 45s

Eight yes/no hygiene checks — the actual factors courts apply. Each 'No' surfaces a specific, concrete fix.

Do you maintain a dedicated business bank account, with no personal transactions running through it?

This is the single most important factor in veil-piercing analysis.

Do you use a business credit card (or cards) exclusively for business expenses?

Was the business adequately capitalized at formation — enough to cover foreseeable liabilities?

Thin capitalization is a major signal of 'using the entity as an alter ego'.

Do you keep written records of major business decisions (minutes, written consents, resolutions)?

Do you always sign contracts as an officer of the entity (e.g., "Jane Smith, Manager, Acme LLC")?

Signing in your personal name can create personal liability even with a perfect LLC structure.

Is the business keeping its assets separate from personal assets (no commingling of vehicles, real estate, deposits)?

Do you observe basic entity formalities — annual reports, operating agreement updates, state filings?

Does the business file its own tax return (or Schedule C with a separate books basis)?

Your risk score

Answer the eight hygiene checks on the left and your risk band plus specific fixes appear here.