Find More Articles
12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents™
 
ESTATE PLANNING
Last Will and Testament
Living Trust
Living Will for Healthcare
 
FINANCIAL & MARITAL
Power of Attorney
Premarital Agreement
Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
BUSINESS
General Partnership
Consulting Agreement
Employee Documents coming soon!
Incorporation coming soon!
Limited Liability Company coming soon!
 

Benefits of a Limited Liability Company (LLC) in Avalon, WI

Benefits of a Limited Liability Company (LLC) in Avalon, WI


Your time is limited, so don't waste it living someone else's life. Don't be trapped by dogma - which is living with the results of other people's thinking. Don't let the noise of other's opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.
 
- Steve Jobs


A limited liability company (LLC) is similar to a Partnership but has the liability protection for the owners that a corporation offers without the formalities, paperwork and fees. All new LLCs must file articles of organization with their secretary of state's office.

You should draft an operating agreement for your LLC that spells out the details of the business arrangement, including members' percentage ownership, roles, rights and responsibilities.

The LLC structure is a good way to "wall off" your personal assets from your company's liabilities, offering protection for your personal assets in the event of a liability or judgment against your business.

A limited liability company (LLC) also has certain tax advantages. The business itself is not responsible for taxes on its profits. Instead, the LLC's owners, known as "members," report their share of business profit and loss on their personal tax returns, similar to tax reporting for a General Partnership. This is known as "pass-through" taxation.


There are many benefits to an LLC structure.

  • Protected assets: LLCs provide limited liability protection to their owners (members), who are typically not personally responsible for the business debts and liabilities of the LLC. Creditors cannot pursue the personal assets (house, savings accounts, etc.) of the owners to pay business debts. Conversely, in a sole proprietorship or General Partnership, owners and the business are legally considered the same—leaving personal assets vulnerable.
  • Pass-through taxation: LLCs typically do not pay taxes at the business level. Any business income or loss is "passed-through" to owners and reported on their personal income tax returns. Any tax due is paid at the individual level.
  • Heightened credibility: Forming an LLC may help a new business establish credibility with potential customers, employees, vendors and partners because they see you have made a formal commitment to your business.
  • Limited compliance requirements: LLCs face fewer state-imposed annual requirements and ongoing formalities than S corporations and C corporations.
  • Flexible management structure: LLCs are free to establish any organizational structure agreed upon by the company owners. LLCs can be managed by the owners (members) or by managers, unlike corporations which have a board of directors who oversee the major business decisions of the company and officers who manage the day-to-day affairs.
  • Few restrictions: There are few restrictions on who can be an LLC owner or how many owners an LLC may have (unlike S corporations).


    • Potential LLC Disadvantages

    LLCs may have some potential disadvantages, including:

  • Formation and ongoing expenses: To form an LLC, Articles of Organization must be filed with the state and the applicable state filing fees paid. Many states impose ongoing fees, such as annual report and/or franchise tax fees. While these fees often are not very expensive for small businesses, LLC formation is more expensive than that of a sole proprietorship or General Partnership, both of which are not required to file formation documents with the state. A few states, such as New York and Arizona, also require LLC owners to publish notice of the LLC formation in local newspapers for several weeks. This can be costly.
  • Transferable ownership: Ownership in an LLC is often harder to transfer than with a corporation. With corporations, shares of stock can be sold to increase ownership. Typically with LLCs, all owners must approve adding new owners or altering the ownership percentages of existing owners.
  • Less precedent: Because the LLC is a newer type of business structure, there is not as much case law or legal precedent for LLCs as there is for corporations.

    •  
    Personalize & Print a Free WI Last Will Create This Document
    Page 1
    Page 2
    Page 3
    Page 4
    Page 5
    Page 6
    Page 7
    Page 8
    Page 9
    Page 10
     
    Personalize & Print a Free WI Living Will Create This Document
    Page 1
    Page 2
    Page 3
    Page 4
    Page 5
    Page 6
    Page 7
    Page 8
    Related Legal Services near Avalon, WI
    Lara Family Law
    15850 W Bluemound Rd Ste 206
    Brookfield, WI 53005
    (262) 786-9900
    Family Law Attorneys, Attorneys, Legal Service Plans
    Herman W Latish Family Foundation
    13255 W Bluemound Rd
    Brookfield, WI 53005
    (262) 780-9640
    Attorneys
    King Law Offices
    1667 Capital Ave
    Madison, WI 53705
    (608) 233-9588
    Probate Law Attorneys,  Attorneys,  Wills, Trusts & Estate Planning Attorneys,  Business Law Attorn
    Foy Thomas M
    12745 W Capitol Dr # 204
    Brookfield, WI 53005
    (262) 781-9535
    Attorneys, Legal Service Plans
    Ramstack Douglas A
    12745 W Capitol Dr # 204
    Brookfield, WI 53005
    (262) 781-9535
    Estate Planning Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys
    David J Lisko L Aw Office
    14170 W Greenfield Ave
    Brookfield, WI 53005
    (262) 785-9400
    Accident & Property Damage Attorneys,  Attorneys,  Employee Benefits & Worker Compensation Attorneys
    Kapke & Kapke
    2505 N 124th St # 106
    Brookfield, WI 53005
    (262) 641-9400
    Attorneys, General Practice Attorneys
    Osinga Law Offices SC
    13500 #201 W Capitol Dr
    Brookfield, WI 53005
    (262) 229-9373
    Wills, Trusts & Estate Planning Attorneys,  Probate Law Attorneys,  Elder Law Attorneys,  Attorneys
    Action Law Offices
    1020 West Blvd
    Racine, WI 53405
    (262) 358-9368
    Attorneys,  Accident & Property Damage Attorneys,  Labor & Employment Law Attorneys,  Personal Injur
    Stilp & Cotton
    15800 W Bluemound Rd
    Brookfield, WI 53005
    (262) 821-9288
    General Practice Attorneys, Attorneys
    Hoglund, Chwialkowski & Mrozik, P
    200 S Executive Dr
    Brookfield, WI 53005
    (414) 459-9249
    Social Security & Disability Law Attorneys,  Attorneys,  Legal Service Plans,  Administrative & Gove
    Galang Manuel R
    95 N Moorland Rd
    Brookfield, WI 53005
    (262) 797-9239
    Attorneys
    Kopp Jennifer
    16655 W Bluemound Rd
    Brookfield, WI 53005
    (262) 827-9130
    Attorneys
    Dewitt Janice
    16655 W Bluemound Rd
    Brookfield, WI 53005
    (262) 827-9130
    Family Law Attorneys, Attorneys, Legal Service Plans
    Bertram & Bertram
    350 Bishops Way # 204
    Brookfield, WI 53005
    (262) 789-9030
    Attorneys, General Practice Attorneys
    Mark S. Knutson, S.C.
    14170 W Greenfield Ave
    Brookfield, WI 53005
    (262) 785-9000
    Family Law Attorneys,  Business Law Attorneys,  Estate Planning Attorneys,  Corporation & Partnershi
    Fredrick Kristin
    16655 W Bluemound Rd Ste 270
    Brookfield, WI 53005
    (262) 827-8916
    Attorneys, Legal Service Plans
    Litchfield Cavo
    13400 Bishops Ln
    Brookfield, WI 53005
    (262) 784-8812
    Attorneys, General Practice Attorneys
    Keane Thea M
    405 N Calhoun Rd
    Brookfield, WI 53005
    (262) 786-8578
    Family Law Attorneys, Attorneys
    Smith Suzanne M
    303 Milwaukee Ave
    Burlington, WI 53105
    (262) 767-8570
    General Practice Attorneys, Attorneys, Legal Service Plans
    Hutchison Benson & Oszewski Sc
    1025 S Moorland Rd
    Brookfield, WI 53005
    (262) 789-8535
    Real Estate Attorneys, Attorneys, Legal Service Plans
    Nickolai & Poletti, LLC
    308 Milwaukee Ave
    Burlington, WI 53105
    (262) 757-8444
    Bankruptcy Law Attorneys, Family Law Attorneys, Estate Planning, Probate, & Living Trusts
    Armstrong Jenny R
    3240 University Ave
    Madison, WI 53705
    (608) 238-8424
    Attorneys
    Wanasek Scholze Ludwig Ekes & Iselin S.C.
    133 S Pine St
    Burlington, WI 53105
    (262) 763-8185
    Attorneys,  Divorce Attorneys,  Wills, Trusts & Estate Planning Attorneys,  Corporation & Partnersh
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US