Find More Articles
12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents™
 
Protect Your Family & Assets Today
with a Free Last Will & Testament
  • Finish and print in minutes!
  • Personalized for You
  • Written by expert Attorneys
  • Valid & Legal for Massachusetts
 Start My Free Document 

Benefits of a Limited Liability Company (LLC) in Taunton, MA

Benefits of a Limited Liability Company (LLC) in Taunton, MA


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.

    •  
    Download & Print a Free MA Last Will Personalize This Document
    Page 1
     
    Download & Print a Free MA Living Will Personalize This Document
    Page 1
      Answer Easy
    Questions
    answer simple questions online step by step
    Easy Questions, Instant Documents
    • Finish in Minutes
    • Download Immediately
    • Written by Attorneys
    • 100% Guaranteed
      Get Instant Legal
        Documents™
    Print, save or email your finished legal document immediately!
    Last Will & Testament
    Related Legal Services near Taunton, MA
    Nunes Richard A
    14 Taunton Grn
    Taunton, MA 02780
    (508) 821-9999
    Attorneys, Legal Service Plans
    Lisa K Habboub PC
    18 Broadway
    Taunton, MA 02780
    (508) 824-9900
    General Practice Attorneys, Attorneys
    Rich Bruce G
    23 Trescott St
    Taunton, MA 02780
    (508) 880-9880
    Attorneys, Legal Service Plans
    Glaser Legal, PC
    122 Dean St
    Taunton, MA 02780
    (781) 361-9784
    Legal Service Plans, Attorneys, Labor & Employment Law Attorneys, Corporation & Partnership Law Atto
    Dial A Lawyer
    122 Dean St
    Taunton, MA 02780
    (781) 361-9784
    Labor & Employment Law Attorneys,  Attorneys,  Social Security & Disability Law Attorneys,  Accident
    Gallagher Mark P
    23 Trescott St
    Taunton, MA 02780
    (508) 880-9536
    Attorneys, Legal Service Plans
    Puller & Charlson Law Offices
    18 Broadway
    Taunton, MA 02780
    (508) 822-9206
    General Practice Attorneys, Attorneys, Legal Service Plans
    Joseph F De Mello Law Offices
    71 Main St
    Taunton, MA 02780
    (508) 824-9112
    Personal Injury Law Attorneys, Attorneys, Family Law Attorneys
    Paula Plouffe
    18 Broadway
    Taunton, MA 02780
    (508) 884-8800
    Attorneys
    Plouffe Paula
    23 Trescott St # 6
    Taunton, MA 02780
    (508) 884-8800
    Attorneys
    Berube Wayne A
    88 Dean St
    Taunton, MA 02780
    (508) 823-8259
    Attorneys, Legal Service Plans
    Mediation Center
    16 Taunton Grn
    Taunton, MA 02780
    (508) 823-7733
    Legal Service Plans,  Mediation Services,  Family Law Attorneys,  Divorce Assistance,  Attorneys,  A
    Mc Manus Jr J John
    645 County St # 3
    Taunton, MA 02780
    (508) 823-6789
    Attorneys, Legal Service Plans
    Colton Ryan
    9 Leonard St
    Taunton, MA 02780
    (508) 822-6750
    Attorneys
    Karsner Colleen C
    128 Dean St # 1A
    Taunton, MA 02780
    (508) 822-6600
    Attorneys, Legal Service Plans, Personal Injury Law Attorneys, Accident & Property Damage Attorneys,
    Karsner & Meehan
    128 Dean St
    Taunton, MA 02780
    (508) 822-6600
    Attorneys,  Social Security & Disability Law Attorneys,  Accident & Property Damage Attorneys,  Empl
    Alexander Nesson Law Office
    4 Court St # 105
    Taunton, MA 02780
    (508) 828-6540
    Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Arbitration Services
    D'Oliveria Paul
    123 Broadway
    Taunton, MA 02780
    (508) 822-6373
    Attorneys, Legal Service Plans
    Terwilliger Kurt
    500 Myles Standish Blvd
    Taunton, MA 02780
    (508) 821-5800
    Attorneys, General Practice Attorneys
    Medeiros Alan B
    1 Church Grn
    Taunton, MA 02780
    (508) 880-5656
    General Practice Attorneys, Attorneys, Legal Service Plans
    Dussault Thomas
    80 Main St
    Taunton, MA 02780
    (508) 822-4600
    General Practice Attorneys, Attorneys, Legal Service Plans
    Disanto John M
    12 Taunton Grn # 202
    Taunton, MA 02780
    (508) 823-4561
    Corporation & Partnership Law Attorneys, Attorneys, Accident & Property Damage Attorneys
    Roster & Antine
    63 Winthrop St
    Taunton, MA 02780
    (508) 823-4553
    General Practice Attorneys, Attorneys, Legal Service Plans
    Michael J Brothers Atty
    80 Main Street
    Taunton, MA 02780
    (508) 822-4448
    Attorneys, Criminal Law Attorneys, Attorneys Referral & Information Service
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US