There are a few reasons why the courts would pierce the corporate veil. One example that I wanted to elaborate on was failure to follow corporate formalities. Of the several ways listed that courts would pierce the corporate veil, I believe that this one is the most likely to effect small business owners. Due to the company being small, it might not have the money to hire people to keep records as well as a big business. It seems that small business owners are also more at risk for using corporate funds as personal funds. As someone who grew up working on a family business who is an LLC, I can personally say that it is rather hard for a small business to follow all of these rules. This leads me to question if perhaps the size of the company should determine whether certain companies be exempt from a few of these examples. If a small company has to do all this and cant afford to hire people to do the records to this standard, they have to close its doors. So are there businesses out there that don’t exist due to this? This seems to be something that only small businesses have trouble dealing with and its almost un-American to have policies that seem to effect small businesses more than larger ones.