Are you considering starting your own business? It’s important to evaluate the different options that various types of businesses have to offer. One type of business to consider is a Limited Liability Company or an LLC. Find out what this can offer your business:
What is a Limited Liability Company?
A Limited Liability Company resembles several characteristics of a corporation and a partnership. It is similar to a corporation because they both share limited liability, except an LLC has more flexibility than a corporation. An LLC and partnership are related because they both share pass-through income taxation.
Are there shareholders in an LLC?
No, the company has no shareholders, which is something a corporation does have. An LLC has owners of the business. This factor makes an LLC similar to a partnership. As a matter of fact, there can be more than one owner in an LLC, and the percentage of profit is divided among each of the members.
How do you form an LLC?
You don’t need a lawyer to form an LLC. After you have committed to forming an LLC business, you must file and submit the appropriate paperwork for your business according to your state laws. One of the key factors you need to figure out is the percentage each owner of the company will profit from the company.
We the People can assist you with providing the correct paperwork for your Limited Liability Company. Call a local office today for more information.