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 Warren, OH

Benefits of a Limited Liability Company (LLC) in Warren, OH


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 OH 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 OH 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 Warren, OH
    Daniluk Daniel
    1129 Niles Cortland Rd SE
    Warren, OH 44484
    (330) 609-9999
    Accident & Property Damage Attorneys,  Attorneys,  Personal Injury Law Attorneys,  Real Estate Attor
    Poteet Cherry
    1129 Niles Cortland Rd SE
    Warren, OH 44484
    (330) 609-9999
    Attorneys
    Wilkes & Cantalamessa
    2928 Elm Rd NE
    Warren, OH 44483
    (330) 469-9861
    General Practice Attorneys, Attorneys, Legal Service Plans
    Crisan James J
    156 N Park Ave
    Warren, OH 44481
    (330) 394-9692
    Attorneys, Labor & Employment Law Attorneys, Corporation & Partnership Law Attorneys
    Sopkovich Carol A
    156 N Park Ave
    Warren, OH 44481
    (330) 394-9692
    Attorneys Referral & Information Service, Attorneys, General Practice Attorneys
    White Martin F
    156 N Park Ave
    Warren, OH 44481
    (330) 394-9692
    Attorneys,  Malpractice Law Attorneys,  Accident & Property Damage Attorneys,  Legal Service Plans
    Margolius Margolius & Associates
    55 Public Sq, Ste 1100
    Warren, OH 44481
    (330) 399-8964
    Social Security & Disability Law Attorneys, Attorneys, Legal Service Plans, Administrative & Governm
    Turner Lawrence S
    185 High St NE # 2
    Warren, OH 44481
    (330) 399-8801
    General Practice Attorneys, Attorneys
    Mcguire William P
    106 E Market St # 705
    Warren, OH 44481
    (330) 392-8800
    Tax Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys, Corporation & Partnership Law A
    Yakubek Nancy E
    524 N Park Ave
    Warren, OH 44481
    (330) 392-8200
    Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Business Bankruptcy Law Attorneys,  Bankruptc
    Ziegler Charles A
    8096 E Market St
    Warren, OH 44484
    (330) 872-7776
    Estate Planning Attorneys, Attorneys, Criminal Law Attorneys, Family Law Attorneys, Divorce Attorney
    Lake David G
    154 N Park Ave
    Warren, OH 44481
    (330) 394-7580
    Attorneys, Legal Service Plans
    Ciotola Robert A Co Lpa
    149 E Market St
    Warren, OH 44481
    (330) 393-7250
    Attorneys,  General Practice Attorneys,  Legal Service Plans,  Bankruptcy Law Attorneys
    Zuzolo Law Office
    8214 E Market St
    Warren, OH 44484
    (330) 856-6886
    General Practice Attorneys, Attorneys
    Keating Brendan J
    144 N Park Ave # 200
    Warren, OH 44481
    (330) 399-6847
    Family Law Attorneys, Attorneys, Legal Service Plans
    Hartman Dallas W
    155 S Park Ave
    Warren, OH 44481
    (330) 392-6669
    Malpractice Law Attorneys, Attorneys, Professional Liability & Negligence Law Attorneys
    Heller Maas Moro & Magill Co Lpa
    8096 E Market St Ste 2
    Warren, OH 44484
    (330) 393-6602
    Corporation & Partnership Law Attorneys, Attorneys, Legal Service Plans, Employee Benefits & Worker
    Antonucci Anthony L
    175 Franklin St SE
    Warren, OH 44481
    (330) 399-6450
    Attorneys, DUI & DWI Attorneys, Legal Service Plans
    Ambrosy Curtis J
    144 N Park Ave # 200
    Warren, OH 44481
    (330) 393-6400
    General Practice Attorneys, Attorneys
    Rich Gary R
    342 Mahoning Ave NW
    Warren, OH 44483
    (330) 394-6352
    Attorneys,  Divorce Attorneys,  DUI & DWI Attorneys,  Personal Injury Law Attorneys,  Criminal Law A
    Finamore Mark S
    258 Seneca Ave NE
    Warren, OH 44481
    (330) 394-6148
    Family Law Attorneys, Adoption Law Attorneys, Attorneys
    Callahan Michael
    183 W Market St
    Warren, OH 44481
    (330) 399-5858
    General Practice Attorneys, Attorneys
    Richard S. Hlaudy, LTD
    8256 E Market St Suite 137
    Warren, OH 44484
    (888) 994-5832
    Attorneys, Commercial Law Attorneys
    Makridis Law Firm LLC
    155 Suite 160 South Park Ave
    Warren, OH 44481
    (330) 394-5650
    Social Security & Disability Law Attorneys,  Attorneys,  Personal Injury Law Attorneys,  Bankruptcy
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US