Getting Started - Legal Structure
Limited Liability Companies

Limited Liability Companies

The limited liability company (LLC) is a relatively new business structure that is valid in almost every state. It is a cross between a corporation and a partnership. Essentially, a LLC carries the limited liability advantages of a corporation but operates with the flexibility and tax obligations of a partnership. In terms of taxes, it is less restrictive and less expensive than an S Corporation.

LLC Corporations, at the time of this book’s printing, are allowed in all states except Hawaii, and Vermont. Both of these states have the legalization of the LLC structure under consideration.

The LLC is becoming a very popular form of organization for new, small businesses.