By: Element Law Firm, PC September 5, 2023

Embrace the Future: 5 Ways to Use AI for Your Small Business – Part 2

3. Draft Corporate Resolutions and Annual Meeting Minutes

In order to fully enjoy the benefits of your business and keep it running worry-free, it’s important to keep up-to-date documentation on your business’s company meetings and any resolutions or changes you make to the business.

If you own a corporation, you’re required to conduct an annual meeting with the board of directors and record those meeting minutes. You’re also required to document any major changes to the business in a corporate resolution, which is a legally binding document that records the decisions made by the board of directors and any actions or next steps the company will take as a result.

If you own an LLC, you aren’t required by law to document your meetings or resolutions, but it’s in your and your company’s best interest to do so. If you don’t properly document decisions, discussions, or changes that occur in your business, you leave room for disagreement and conflict between you, your board of directors or members, your vendors, and your clients. At its worst, failing to properly document these items could result in a lawsuit against your company in which you are held personally liable, due to there not being documented separation between you and your business!

But don’t worry, documenting your meetings and discussions is easier than ever with the help of AI.

For example, let’s imagine I’m having a meeting with my LLC members about changing the location of our office but I’m not able to take detailed notes quickly during the discussion. Instead, I jot down the following notes, using incomplete sentences and with no formatting, and give it to ChatGPT to format into professional meeting minutes:

“Give me meeting minutes covering the following:

People present were me-James Doe, Derek Doe, Jamal Doe, Samantha Doe, and Nicole Doe and the meeting started at 12:00 pm at our office location. We are talking about whether or not to move our main office to the Hawthorn Woods location. Pros: more office space, bigger parking lot, quieter area, more space to grow and add employees. Cons: rent is $1,000 per month more, drive time is 20 minutes west of our current location. We expect a 5% increase in business over the next 5 years. Myself, Jamal and Nicole support the move. Derek and Samantha voted against. We decided to move to the Hawthorn Woods location June 30, 2024.”

ChatGPT responded with:

“Meeting Minutes:
Date: April 12, 2023
Time: 12:00 pm
Location: Office

Attendees:
James Doe
Derek Doe
Jamal Doe
Samantha Doe
Nicole Doe

Agenda:
Discussion on whether or not to move the main office to the Hawthorn Woods location.

Discussion:
James Doe opened the meeting by discussing the reasons for considering a move to the Hawthorn Woods location. The group then discussed the pros and cons of the move. The pros included more office space, a bigger parking lot, a quieter area, and more space to grow and add employees. The cons included a rent increase of $1,000 per month and a drive time of 20 minutes west of the current location.

James Doe mentioned that the business is expected to have a 5% increase over the next 5 years, which would require more space for new employees. After the discussion, Jamal and Nicole supported the move, while Derek and Samantha voted against it.

Decision:
After taking into consideration the discussion and the votes, the group decided to move to the Hawthorn Woods location on June 30, 2024.

This was a simple example, but you can see, an AI language model like ChatGPT or Jasper can help you create professional and complete documents for your business when you don’t have the ability or the time to do them yourself.

Of course, you can’t rely on AI to make sure the documents are completely accurate because the software only has the information you provide it to work from. Because of this, AI is an excellent tool for note-taking and drafting, but if you aren’t sure what the documentation requirements are for your business, or want to make sure your documentation is done properly, give me a call. I’d be happy to meet with you to ensure your business is in compliance with all local and national laws, and to make sure you and your company are protected from possible conflict and liability for years to come.

4. Document Loans Between You and Your Company

Owning a business is a challenging but rewarding experience, and in addition to the sense of accomplishment you get from managing your business day-to-day, you also get to enjoy certain benefits as the owner of a company. You’re likely already familiar with the liability protection a business structure like an LLC or corporation can provide for you by keeping the risks and liabilities of your business separate from your personal assets.

But owning a business provides another financial benefit to you: you can borrow money from your company for your own personal use, almost like your own personal bank!

Now, that doesn’t mean you should just take out all the money you want from your business whenever you want with no formality in place. In the event of an IRS audit or a lawsuit brought against you, you’ll want to have clear documentation that the money you accessed was in fact a loan rather than regular income, and that any members or directors of your company have approved the loan.

Once again, you can start the process by using your notes about the transaction and an AI language model to draft loan documents such as:

Meeting minutes noting the authorization of the loan
A promissory note, with terms for repaying the loan
What the interest on the loan will be
Collateral on the loan, when appropriate
The timeline for repaying the loan

By keeping thorough records of any loans you take from you business, you can leverage your business’s financial resources to make investments or pay off unexpected expenses, while still maintaining a separation between you and your business.

Now here’s the reality: just because AI can do it for you, doesn’t mean you will know to do it, or that you’ll even do it if you know you should. And that’s where we come in. As your Lifted Business Advisor, we will make sure that your meeting minutes and any loans or other transactions that need to be documented actually get done, the right way.

5. Enhance the Customer Experience

Last but not least, using AI to improve your customer experience can make all the difference in growing your client base and building brand awareness. No matter what size your business is, customers are drawn to businesses that have signs, websites, and ads that are easy to understand, catchy, and thoughtfully written.

If you’re thinking you don’t have the skill to create excellent advertising materials or the budget to hire someone who does, AI can help. Using an AI language model, you can get professional, attention-grabbing materials without the price tag of a professional ad agency or copywriter.

For example, you can enter website copy you drafted and some information about your ideal customers into ChatGPT and it can create helpful information for your website. If you feel fairly confident in your writing skills but would like an extra set of “eyes” on your work, you can enter what you wrote into ChatGPT and ask it to provide suggestions to improve your work.

For example, I typed the following prompt into ChatGPT:

“Improve this text so that it has a more interesting tone. my ideal customers are young professionals in their 30s and 40s:

I offer my clients personal service and can help them grow their money for the future through investments, retirement planning, and more.”

ChatGPT suggested the following improvement:

“As your personal financial advisor, I provide unparalleled service to help you achieve your financial goals.

From savvy investments to strategic retirement planning and beyond, I’m dedicated to helping you grow your wealth and secure your financial future.”

Talk about an improvement! With the help of AI, you can more easily manage some of your business’s biggest, but most important, hurdles to growth.

Guiding Your Business Through Every Stage

As your Personal Family Lawyer® with a focus on strategic business planning, I love learning about new technology that can help a business grow and prosper. And as a small business owner myself, I know how hard it is to keep up with everything you need to do as an owner – from filing corporate reports, making tax payments, and making sure your company’s legal documents are complete and up-to-date.

I hope these uses for AI help you tackle your day with more efficiency and energy so you can bring even more of your heart and vision to your business. But, don’t forget that there are some things that even the best tech tools can’t do for you.

No matter how big or small your business is, every business needs trusted legal counsel and strategic planning to make sure the technology, Legal, Insurance, Financial and Tax (LIFT) systems you set up for your company will support it through every stage.

If you want to make sure all the pieces of your business are working together towards the goal you have for the business and the life you want, to schedule your LIFT Business Breakthrough Session™. During the Session, I’ll help identify your real vision for your business, your business’s risks, and the Legal, Insurance, Financial, and Tax components you need to see your business grow into the future.

This article is a service of Element Law Firm, PC International Business Strategy and Estate Advisor. We offer a complete spectrum of legal services for businesses and can help you make the wisest choices on how to deal with your business throughout life and in the event of your death. We also offer a LIFT Start-Up Session™ or a LIFT Audit for an ongoing business, which includes a review of all the legal, financial, and tax systems you need for your business. Call us today to schedule. CLICK HERE TO SCHEDULE!