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!
 
 

Orientation to Limited Liability Companies (LLCs) in Zip Code 95811

Orientation to Limited Liability Companies (LLCs) in Zip Code 95811


I've missed more than 9,000 shots in my career. I've lost almost 300 games. 26 times I've been trusted to take the game winning shot and missed. I've failed over and over and over again in my life and that is why I succeed.
 
- Michael Jordan


A Limited Liability Company (LLC), just like a corporation, offers protection from personal liability for business debts. But, unlike a corporation, which pays its own taxes, an LLC is a pass-through tax entity in which the profits and losses pass-through its owners who report it on their personal tax returns.

How to Form an LLC

  • File "Articles of Organization" with your state government including the name, address, and phone number of the business, and the name of the person who is the "registered agent" of the company. Depending on the state, the names of all LLC members are sometimes requested.
  • Create a written LLC operating agreement. This is a crucial document because it includes the rights and responsibilities of the LLC members. It can also include the percentage interest and the shares of profits of the members.
  • Main Features of an LLC



    Limited Personal Liability

    All LLC members are spared from personal liability for business claims and debts. A creditor cannot go after them and demand payment from their personal assets. The assets of the LLC are used to pay off debts, and the only thing members stand to lose is their investment in the business.

    Exceptions to Limited Personal Liability

    Limited personal liability can be enjoyed by an LLC when doing business transactions, but this protection is not fixed. This particular downside also applies to corporations. An LLC owner can be held liable if he/she:

  • Intentionally does something fraudulent, illegal, or reckless that causes harm to the company or to someone else.
  • Fails to pay taxes withheld from employees' wages.
  • Personally and directly injures someone.
  • Personally guarantees a bank loan or a business debt on which the LLC defaults.
  • Treats the LLC as an extension of his/her personal affairs rather than as a separate legal entity.


  • Business Protection

    Your personal assets can be protected by a good liability insurance which is not possible with a limited liability protection. If you are practicing your craft and accidentally injure someone, your liability insurance policy will cover you. In the event of a court proceeding, your insurance can protect your personal assets if the limited liability status is disregarded by the court.

    LLC Taxes

    An LLC is a "pass-through" entity where the business income passes through the business to the LLC members who will report their share of profits or losses on their individual income tax returns. All LLC members make a quarterly estimated tax payment to the IRS.

    LLC Management

    Member management means participating equally in the management of business. Manager management refers to designating one or more owners, or even outsiders, to take responsibility for managing the LLC. In a manager-managed LLC, only those named "manager" can vote with regards to management decisions and act as an agent of the LLC.


    Ending an LLC

    Depending on the laws of your state, or as indicated in the operating agreement, when one member leaves, the LLC dissolves. The remaining members will be responsible for meeting the business obligations left behind, pay the debts, and divide the remaining assets and profits among themselves. The decision to create a new LLC with the remaining members can be discussed. In order to avoid this kind of abrupt ending, your LLC operating agreement can include a "buy-sell" or "buyout" clause with guidelines on what will happen if a member decides to leave to pursue other interests, retires, or dies.

     
    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 95811
    Mehlhop Bart L
    1330 21st St Suite 102
    Sacramento, CA 95811
    (916) 930-9675
    Attorneys,  Employment Opportunities,  Employee Benefits & Worker Compensation Attorneys,  Workers C
    Catherine Ashley Straight Law
    1922 21st St
    Sacramento, CA 95811
    (916) 443-9400
    Attorneys, Patent, Trademark & Copyright Law Attorneys, General Practice Attorneys, Legal Service Pl
    Laskin Alan M
    1810 S St
    Sacramento, CA 95811
    (916) 329-9010
    Attorneys,  Legal Service Plans,  Accident & Property Damage Attorneys,  General Practice Attorneys,
    William F Wright
    1731 J St
    Sacramento, CA 95811
    (916) 442-8614
    Attorneys,  General Practice Attorneys,  Legal Service Plans,  Accident & Property Damage Attorneys,
    Bertolani, Victor X
    1731 J St
    Sacramento, CA 95811
    (916) 442-8614
    Attorneys,  Accident & Property Damage Attorneys,  Probate Law Attorneys,  Personal Injury Law Attor
    Franck & Associates
    1801 7th St Suite 150
    Sacramento, CA 95811
    (916) 447-8400
    Attorneys
    Spinelli Donald & Nott APC
    815 S St
    Sacramento, CA 95811
    (916) 448-7888
    Attorneys,  Labor & Employment Law Attorneys,  Accident & Property Damage Attorneys,  Corporation &
    Strombom Alice A
    1401 21st St
    Sacramento, CA 95811
    (916) 444-7557
    Accident & Property Damage Attorneys, Attorneys, General Practice Attorneys
    Rehm Michael
    1415 21st St
    Sacramento, CA 95811
    (916) 233-7346
    General Practice Attorneys, Attorneys, Legal Service Plans
    Soluri & Emrick Llp
    1822 21st St
    Sacramento, CA 95811
    (916) 455-7300
    Administrative & Governmental Law Attorneys, Attorneys, Federal Law Attorneys
    Joseph C. Barrera
    717 20th St # 210
    Sacramento, CA 95811
    (916) 441-7300
    Attorneys, Legal Service Plans
    Hooper, Ryan M - Gregory D Thatch Law Offices
    1730 I St
    Sacramento, CA 95811
    (916) 443-6956
    General Practice Attorneys, Attorneys, Legal Service Plans
    California Lawyers for The Arts
    2015 J St
    Sacramento, CA 95811
    (916) 442-6210
    Mediation Services, Attorneys, General Practice Attorneys
    Glick Peter E
    1722 3rd St # 202
    Sacramento, CA 95811
    (916) 448-6182
    Attorneys, Legal Service Plans
    Considine Sorensen & Trujillo A Professional Law Corporation
    1709 18th St
    Sacramento, CA 95811
    (916) 491-6100
    Attorneys, Immigration Law Attorneys
    Timmons Owen & Owen
    1401 21st St
    Sacramento, CA 95811
    (209) 223-5650
    Personal Injury Law Attorneys,  Attorneys,  Workers Compensation Assistance,  Employment Opportuniti
    Socal Document Processing Inc
    306 N 12th St
    Sacramento, CA 95811
    (916) 379-5555
    Paralegals
    Kreeger Christopher
    1903 21st St
    Sacramento, CA 95811
    (916) 663-5522
    Accident & Property Damage Attorneys, Personal Injury Law Attorneys, Attorneys
    Spanish Interpreting & Translating
    1219 19th St
    Sacramento, CA 95811
    (916) 446-4911
    Paralegals
    Prout & Levangie
    2021 N St
    Sacramento, CA 95811
    (916) 443-4849
    General Practice Attorneys, Attorneys, Legal Service Plans
    Daniel Yamshon ESQ.
    510 Bercut Dr Suite J
    Sacramento, CA 95811
    (916) 446-4817
    Attorneys, Mediation Services, Arbitration Services
    Mastagni Holstedt Amick Miller & Johnsen
    1912 I St # 102
    Sacramento, CA 95811
    (916) 446-4692
    Attorneys, Labor & Employment Law Attorneys, Corporation & Partnership Law Attorneys, Legal Service
    Albert S. Wong Attorney
    717 20th St
    Sacramento, CA 95811
    (916) 668-4546
    Attorneys,  Personal Injury Law Attorneys,  Employee Benefits & Worker Compensation Attorneys,  Work
    Dahl Ronald W
    716 19th St Ste 100
    Sacramento, CA 95811
    (916) 553-4034
    Attorneys, Landlord & Tenant Attorneys, Real Estate Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US