Let's say there is a small business owner of a business that employs 30 people. From time to time, that business owner takes and/or borrows money from the business for personal expenses, like home improvements.
Question: What, if anything, is "wrong" with this? Take "wrong" however you want: ethical, legal, strategic, or any other way.
I think this is a legitimate question for this site, because I have recently encountered some who has condemned it as "very wrong", and yet I want to understand what specifically is wrong with it, both as general personal finance knowledge as well as knowing what not to do should I find myself a business owner in the future (which is always a consideration). The one that occurs to me is strategic, in that mixing personal and business monies in this way could cause a judge to pierce the corporate veil and make the owner personally liable in case of a lawsuit against the company. But I am really unsure of the other reasons it might be wrong (though I suspect, at least, tax issues).
Edit: this is in the United States, and the business sells a service to the public.