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 Kings Mountain, KY

Benefits of a Limited Liability Company (LLC) in Kings Mountain, KY


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 KY 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 KY 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 Kings Mountain, KY
    Pearlman And Associates
    7982 New La Grange Rd Louisville
    Louisville, KY 40242
    (502) 394-9900
    Accident & Property Damage Attorneys,  Attorneys,  Labor & Employment Law Attorneys,  General Practi
    Nutgrass David P
    123 S Main St
    Lawrenceburg, KY 40342
    (502) 839-9886
    Attorneys, Legal Service Plans
    Aaron Law Offices
    6900 Houston Rd Suite 12
    Florence, KY 41042
    (859) 525-9800
    Wills, Trusts & Estate Planning Attorneys,  Business Law Attorneys,  Personal Injury Law Attorneys,
    Rouse Mills
    1640 Caddie Cir
    Florence, KY 41042
    (859) 371-9357
    Attorneys
    Michael W. Lyons
    6601 Dixie Highway
    Florence, KY 41042
    (859) 964-9117
    Divorce Attorneys,  Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Business Law Attorne
    Hellard S Marie PSC
    308 S Main St
    Lawrenceburg, KY 40342
    (502) 839-8844
    Family Law Attorneys, Attorneys, Legal Service Plans
    Graydon Head & Ritchey Lwyrs
    8100 Burlington Pike
    Florence, KY 41042
    (859) 282-8800
    General Practice Attorneys, Attorneys
    Lape & Aylor
    6900 Houston Rd Ste 35
    Florence, KY 41042
    (859) 647-8400
    Attorneys, General Practice Attorneys
    Clausen Cynthia R
    6900 Houston Rd Ste 33
    Florence, KY 41042
    (859) 371-7979
    General Practice Attorneys, Attorneys, Legal Service Plans
    Wilson Dale T
    7699 Ewing Blvd
    Florence, KY 41042
    (859) 371-7407
    General Practice Attorneys, Attorneys, Legal Service Plans
    Teresa Cunningham
    71 Cavalier Blvd # 100
    Florence, KY 41042
    (859) 371-7300
    General Practice Attorneys, Attorneys
    Arnett John G Lawyer
    6900 Houston Rd Suite 23
    Florence, KY 41042
    (859) 371-6655
    Criminal Law Attorneys, Divorce Attorneys, DUI & DWI Attorneys, Family Law Attorneys, Personal Injur
    Arnett John G Lawyer
    6900 Houston Rd Suite 23
    Florence, KY 41042
    (859) 371-6655
    Criminal Law Attorneys,  Divorce Attorneys,  DUI & DWI Attorneys,  Family Law Attorneys,  Personal I
    Arnett John G
    6900 Houston Rd. Suite 23
    Florence, KY 41042
    (859) 371-6655
    General Practice Attorneys, Attorneys
    Cynthia R. Clausen Law Firm
    6900 Houston Rd
    Florence, KY 41042
    (859) 363-6483
    Not available
    Godbey & Associates
    73 Cavalier Blvd Ste 100
    Florence, KY 41042
    (859) 344-5297
    Estate Planning Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys, Corporation & Partn
    Smith David F
    710 E Steve Wariner Dr
    Russell Springs, KY 42642
    (270) 866-5169
    Attorneys, Legal Service Plans
    Miller Engineering
    4831 Highway 379
    Russell Springs, KY 42642
    (270) 343-4346
    Litigation & Tort Attorneys, Attorneys
    Kendrick L Craig
    7000 Houston Rd Ste 25
    Florence, KY 41042
    (859) 371-4321
    Attorneys, Legal Service Plans
    Bertram George G
    200 Progress Dr # 500
    Russell Springs, KY 42642
    (270) 858-4117
    Attorneys, Legal Service Plans
    Monohan and Blankenship Attorneys
    7711 Ewing Blvd Ste 100
    Florence, KY 41042
    (513) 456-4096
    Attorneys, Legal Service Plans, Personal Injury Law Attorneys, Bankruptcy Law Attorneys, Criminal La
    Kevin Moser Law PLLC
    223 Main Street Suite B
    Florence, KY 41042
    (859) 298-3899
    Criminal Law Attorneys, Divorce Attorneys, DUI & DWI Attorneys
    Rogers Larry
    350 Main St
    Russell Springs, KY 42642
    (270) 866-3888
    General Practice Attorneys, Attorneys
    Jason Cubert
    108 N Main St
    Lawrenceburg, KY 40342
    (502) 859-3745
    Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US