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 Neavitt, MD

Benefits of a Limited Liability Company (LLC) in Neavitt, MD


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 MD 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 MD 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 Neavitt, MD
    Higgs Michael
    1028 Brice Rd
    Rockville, MD 20852
    (301) 762-8992
    Attorneys
    Gary Segal
    600 Jefferson Plz Ste 308
    Rockville, MD 20852
    (301) 424-8822
    Attorneys,  Criminal Law Attorneys,  Legal Service Plans,  Personal Injury Law Attorneys
    Wescott Rowe LLP
    5906 Hubbard Dr # 4A
    Rockville, MD 20852
    (301) 770-8775
    Attorneys,  Criminal Law Attorneys,  Business Bankruptcy Law Attorneys,  Real Estate Attorneys,  Ban
    Minshew & Ahluwalia LLP
    600 Jefferson Plaza, Suite 308
    Rockville, MD 20852
    (240) 386-8705
    Family Law Attorneys, Divorce Attorneys, Domestic Violence Attorneys, Child Custody Attorneys
    De Blasi Ann Marie
    600 Jefferson Plz # 201
    Rockville, MD 20852
    (301) 251-8606
    Attorneys, General Practice Attorneys
    Gardner Law Firm, P.C.
    600 Jefferson Plaza, Suite 308
    Rockville, MD 20852
    (301) 762-8475
    Legal Service Plans,  Divorce Attorneys,  Family Law Attorneys,  General Practice Attorneys,  Attorn
    Magazine, Susan S - Magazine & Hillman
    611 Rockville Pike Ste 100
    Rockville, MD 20852
    (301) 340-8300
    Attorneys,  Legal Service Plans,  Family Law Attorneys,  Tax Attorneys,  Divorce Attorneys,  Banking
    Orenberg Allen
    11200 Rockville Pike # 301
    Rockville, MD 20852
    (301) 984-8005
    Attorneys, General Practice Attorneys
    Michael S Krotman Law Office
    751 Rockville Pike
    Rockville, MD 20852
    (301) 424-7804
    General Practice Attorneys, Attorneys
    David S Greene
    611 Rockville Pike # 225
    Rockville, MD 20852
    (301) 279-7600
    Personal Injury Law Attorneys, Insurance Attorneys, Attorneys
    Ronald S Canter
    11300 Rockville Pike
    Rockville, MD 20852
    (301) 770-7490
    General Practice Attorneys, Attorneys
    Goldstein Stanley
    11300 Rockville Pike # 502
    Rockville, MD 20852
    (301) 231-7225
    Attorneys, General Practice Attorneys, Legal Service Plans
    Levy Andrew G
    11300 Rockville Pike # 502
    Rockville, MD 20852
    (301) 231-7225
    Attorneys, Legal Service Plans
    Begun-Gordon Sally
    5809 Nicholson Ln Apt 404
    Rockville, MD 20852
    (301) 770-7075
    Attorneys
    Davis Geoffrey A
    11921 Rockville Pike
    Rockville, MD 20852
    (301) 230-6575
    Attorneys
    Maryland Divorce Mediation
    40 Crothers Ct
    Rockville, MD 20852
    (240) 328-6544
    Arbitration Services
    Carlotta Woodward Law Offices
    600 Jefferson Plz
    Rockville, MD 20852
    (301) 424-6366
    General Practice Attorneys, Attorneys, Legal Service Plans
    Maribel Lafontaine Law Office
    600 Jefferson Plz Ste 304
    Rockville, MD 20852
    (301) 424-6339
    Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Immigration Law Attorneys,  Legal Service Pla
    Charles Lazar
    6110 Executive Blvd
    Rockville, MD 20852
    (800) 963-6222
    Attorneys, General Practice Attorneys
    The Wampler Law Firm
    11300 Rockville Pike # 112
    Rockville, MD 20852
    (301) 468-5657
    General Practice Attorneys, Attorneys, Legal Service Plans
    Weinberg & Jacobs
    11300 Rockville Pike # 1200
    Rockville, MD 20852
    (301) 468-5500
    Estate Planning Attorneys,  Attorneys,  Family Law Attorneys,  Tax Attorneys,  Divorce Attorneys,  B
    Canter Robert B
    11921 Rockville Pike # 300
    Rockville, MD 20852
    (301) 230-5220
    Attorneys
    Kennedy Kevin P
    11921 Rockville Pike # 300
    Rockville, MD 20852
    (301) 230-5219
    Attorneys
    Roberts Christopher
    11921 Rockville Pike # 300
    Rockville, MD 20852
    (301) 230-5208
    Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US