Keeping corporate records offers practical benefits for your firm in addition to being legally mandated. For example, your records will help you track your company's success over time, and your prior tax returns will assist you in completing future tax returns.

The "corporate veil," or the separation between the corporation's assets and the personal assets of the corporation's members, is also maintained in corporate records.

These records show that your company is in compliance, and if it isn't, your personal assets could be jeopardized. In essence, accurate records safeguard you and your company from litigation and audits.

Finally, strong records can help to improve the value of your firm by demonstrating its worth. If you ever decide to sell your business, the buyer will want to view your records to prove that the "sticker price" you established is accurate.

There are a number of documents that all organizations must keep in their records, but the specific requirements will differ based on your state and the industry you work in. However, there are a few things you should cover in general:

• Your corporation's articles of incorporation (and any amendments to them)

• a copy of your organization's bylaws

• Board meeting minutes and annual shareholder meetings

• Returns on income (and proof documents for any deductions you make)

• Tax records for employees

• A list of your resolutions (major board actions), such as property acquisitions, policy changes, and large-scale layoffs or hires.

• Copies of your annual reports are available upon request.

• Stock exchanges' records (and other securities)

• Records of accounting

• Statements from the bank and credit cards

• Files concerning human resources (hires, terminations, applicants, etc)

Please keep in mind that this is not an exhaustive list. There may be more items you need to include, and your company may not need to preserve all of the records specified above.