12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents
 
 
FINANCIAL & MARITAL

Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
 

Advantages and Disadvantages of a Limited Liability Company (LLC) in Zip Code 94107

Advantages and Disadvantages of a Limited Liability Company (LLC) in Zip Code 94107


Grit is often the single-most predictor of success.
 
- Jonah Lehrer


A Limited Liability Company (LLC) is a legal business entity that combines the liability protection of a corporation, the operating flexibility of a Partnership, and the tax benefits of a sole proprietorship. Though the rules for forming an LLC vary by state, it is a popular option for many start-up businesses.

Advantages:

Limited Personal Liability and Exposure

One advantage of an LLC is the limited liability shield, which protects the personal assets of its members. Creditors, typically, cannot hold members personally responsible for the debts and liabilities of the business. Members can only be liable to the extent of their business investment.

Pass-through Taxation

Though there are an array of tax options for a Limited Liability Company; an LLC is generally treated as a "pass-through" entity. Profits and losses pass through the business to the members and are taxed at the personal level. The business itself is not taxed. Reporting is done on members' individual income tax returns. No double taxation with both the company and the owner(s) paying taxes on the earnings of the business.

Operational Flexibility & Simplicity

An LLC is much less formal than a corporation. Record keeping and administrative procedures are not as onerous. There are no quarterly and annual meetings, or tax filings. Neither is there a board of directors.

Legitimacy

Registering a company as an LLC adds credibility to a business, and can help in brand building and marketing to potential clients and suppliers. In addition, the company can enter into contracts on its own, and also acquire property.

Disadvantages:

Higher Fees

An LLC typically pays higher filing fees compared to some other business entities or sole proprietorships. Additionally, some states require annual renewal fees or franchise taxes. It is difficult for an LLC to attract additional investment because the company does not have the ability to issue stocks and bonds. Members have to finance its business activities, or take in private investors. Getting a loan can be tough, especially for small and start-up companies. The company may have to use its business, or personal, assets to guarantee business loans.

Fewer fringe benefits

Employees of an LLC who receive fringe benefits, for example, medical insurance and parking, must treat these benefits as taxable income. This is also true for employees who own more than 2% of an S-corporation. However, employees of a C-corporation do not have to report fringe benefits as taxable income.
 
Personalize & Print a Free CA 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 CA 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 Zip Code 94107
Dicenzo Nancy P
701 Minnesota St
San Francisco, CA 94107
(415) 655-9479
Family Law Attorneys, Attorneys
All-Pro Bail Bonds San Francisco
917 7th St
San Francisco, CA 94107
(415) 749-9303
Process Servers,  Bail Bonds,  Bail Bond Referral Service,  DUI & DWI Attorneys,  Attorneys Referral
Weaver & Associates
795 Folsom St #100
San Francisco, CA 94107
(415) 534-9300
Automobile Accident Attorneys,  Medical Malpractice Attorneys,  Personal Injury Law Attorneys,  Prod
Jeffrey Chen
766 Harrison Unit 101 St
San Francisco, CA 94107
(415) 369-9089
Attorneys, General Practice Attorneys
Wilmer Hale
880 Harrison St
San Francisco, CA 94107
(415) 926-8923
Administrative & Governmental Law Attorneys, Attorneys
Aaron Bortel
650 5th St
San Francisco, CA 94107
(888) 373-8000
Attorneys, DUI & DWI Attorneys
Quigley Kenneth M
650 5th St
San Francisco, CA 94107
(415) 546-7771
General Practice Attorneys, Attorneys
Storm Lucinda
610 3rd St
San Francisco, CA 94107
(415) 777-6990
General Practice Attorneys, Attorneys
Aschenbrener Law, P.C.
795 Folsom Street, 1st Floor
San Francisco, CA 94107
(415) 813-6245
Computer & Technology Law Attorneys, Consumer Law Attorneys, Small Business Attorneys
Nathaniel R. Dowds
404 Bryant Street
San Francisco, CA 94107
(415) 312-5495
Divorce Attorneys, Family Law Attorneys, Attorneys
Evans & Page
1072 Illinois St
San Francisco, CA 94107
(415) 896-5072
Accident & Property Damage Attorneys
Reeves Law Group
795 Folsom St
San Francisco, CA 94107
(415) 671-4861
Attorneys Referral & Information Service
Divorce With Dignity
350 Townsend St
San Francisco, CA 94107
(415) 243-4345
Divorce Assistance, Attorneys, Family Law Attorneys, Divorce Attorneys
San Francisco Attorney Svc
667 Folsom St
San Francisco, CA 94107
(415) 495-4221
Attorneys Support & Service Bureaus, Attorneys, General Practice Attorneys
Gonzales Law Firm
361 Pennsylvania Ave
San Francisco, CA 94107
(415) 431-3200
General Practice Attorneys, Attorneys
Lee J Wilder
360 Ritch St
San Francisco, CA 94107
(415) 495-3115
Attorneys, General Practice Attorneys
Bolkship Maritime Agency Inc
330 Townsend St
San Francisco, CA 94107
(415) 814-2568
Admiralty & Maritime Law Attorneys
Hudson, Eliot R - Dla Piper
153 Townsend St # 800
San Francisco, CA 94107
(415) 836-2500
Attorneys, Business Law Attorneys, Insurance Attorneys, Litigation & Tort Attorneys
Driscoll Thomas L
2002 3rd St
San Francisco, CA 94107
(415) 281-0900
Attorneys, Legal Service Plans
Aaron Bortel Law Offices - DUI DWI Attorney
650 5th St
San Francisco, CA 94107
(415) 247-0700
DUI & DWI Attorneys, Business Law Attorneys, Attorneys, Criminal Law Attorneys
Walter Cook
1500 20th St
San Francisco, CA 94107
(415) 920-0423
Attorneys Referral & Information Service, Attorneys
Nationwide Express Inc
859 Harrison St
San Francisco, CA 94107
(415) 351-0400
Attorneys Support & Service Bureaus, Attorneys, General Practice Attorneys
Specialized Legal Services
PO Box 77141
San Francisco, CA 94107
(415) 487-0300
Attorneys Support & Service Bureaus, Legal Service Plans, Attorneys
Doug Bend
88 King Street
San Francisco, CA 94107
(415) 299-0257
Attorneys,  Accident & Property Damage Attorneys,  Personal Injury Law Attorneys,  General Practice
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US