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!
 
 

Advantages and Disadvantages of a Limited Liability Company (LLC) in Zip Code 97626

Advantages and Disadvantages of a Limited Liability Company (LLC) in Zip Code 97626


Grit is often the single-most predictor of success.
 
- Jonah Lehrer


A Limited Liability Company (LLC) is a legal business entity that combines the liability protection of a corporation, the operating flexibility of a Partnership, and the tax benefits of a sole proprietorship. Though the rules for forming an LLC vary by state, it is a popular option for many start-up businesses.

Advantages:

Limited Personal Liability and Exposure

One advantage of an LLC is the limited liability shield, which protects the personal assets of its members. Creditors, typically, cannot hold members personally responsible for the debts and liabilities of the business. Members can only be liable to the extent of their business investment.

Pass-through Taxation

Though there are an array of tax options for a Limited Liability Company; an LLC is generally treated as a "pass-through" entity. Profits and losses pass through the business to the members and are taxed at the personal level. The business itself is not taxed. Reporting is done on members' individual income tax returns. No double taxation with both the company and the owner(s) paying taxes on the earnings of the business.

Operational Flexibility & Simplicity

An LLC is much less formal than a corporation. Record keeping and administrative procedures are not as onerous. There are no quarterly and annual meetings, or tax filings. Neither is there a board of directors.

Legitimacy

Registering a company as an LLC adds credibility to a business, and can help in brand building and marketing to potential clients and suppliers. In addition, the company can enter into contracts on its own, and also acquire property.

Disadvantages:

Higher Fees

An LLC typically pays higher filing fees compared to some other business entities or sole proprietorships. Additionally, some states require annual renewal fees or franchise taxes. It is difficult for an LLC to attract additional investment because the company does not have the ability to issue stocks and bonds. Members have to finance its business activities, or take in private investors. Getting a loan can be tough, especially for small and start-up companies. The company may have to use its business, or personal, assets to guarantee business loans.

Fewer fringe benefits

Employees of an LLC who receive fringe benefits, for example, medical insurance and parking, must treat these benefits as taxable income. This is also true for employees who own more than 2% of an S-corporation. However, employees of a C-corporation do not have to report fringe benefits as taxable income.
 
Personalize & Print a Free OR 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 OR 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 97626
Browne Claudia E
236 NW E St
Grants Pass, OR 97526
(541) 291-9996
Attorneys,  Criminal Law Attorneys,  Family Law Attorneys,  Divorce Attorneys,  DUI & DWI Attorneys,
Landers Mary
115 NW E St
Grants Pass, OR 97526
(541) 956-9922
Attorneys
Dwyer Roy
777 NE 7th St
Grants Pass, OR 97526
(541) 471-8994
General Practice Attorneys, Attorneys, Legal Service Plans
Cherkoss Arne
777 NE 7th St # 106
Grants Pass, OR 97526
(541) 471-8994
Attorneys
Williams Tim
777 NE 7th St
Grants Pass, OR 97526
(541) 471-8994
General Practice Attorneys, Attorneys, Legal Service Plans
Cauble Walter L
111 SE 6th St
Grants Pass, OR 97526
(541) 476-8825
Attorneys, Legal Service Plans, General Practice Attorneys
Cauble Christopher
111 SE 6th St
Grants Pass, OR 97526
(541) 476-8825
General Practice Attorneys, Attorneys, Legal Service Plans
Groh Steven
219 NW E St
Grants Pass, OR 97526
(541) 955-8000
Attorneys
Southern Oregon Mediation Ctr
432 NW 6th St # 209
Grants Pass, OR 97526
(541) 955-7199
Attorneys,  Family Law Attorneys,  Marriage, Family, Child & Individual Counselors,  Arbitration S
Holmbeck Kathi
130 NW D St
Grants Pass, OR 97526
(541) 476-6677
General Practice Attorneys, Attorneys, Legal Service Plans
Davis, Jack Davis Adams Freudenberg Day
600 NW 5th St
Grants Pass, OR 97526
(541) 476-6627
Attorneys
Clyde Carl A
600 NW 5th St
Grants Pass, OR 97526
(541) 476-6627
Attorneys, Legal Service Plans
Galli Matthew G
600 NW 5th St
Grants Pass, OR 97526
(541) 476-6627
Attorneys, General Practice Attorneys
Freudenberg Benjamin E
600 NW 5th St
Grants Pass, OR 97526
(541) 476-6627
Attorneys, General Practice Attorneys, Legal Service Plans
Adams Richard D
600 NW 5th St
Grants Pass, OR 97526
(541) 476-6627
Attorneys, Legal Service Plans
Myrick Seagraves Adams Davis & Preslar
600 NW 5th St
Grants Pass, OR 97526
(503) 476-6627
Attorneys, Legal Service Plans
Affordable Paralegal
831 NE 7th Street, Suite 101
Grants Pass, OR 97526
(541) 591-6474
Paralegals, Legal Document Assistance
Graham Jr Robert A
236 NW E St
Grants Pass, OR 97526
(541) 479-6404
Attorneys, Business Law Attorneys, Real Estate Attorneys, Litigation & Tort Attorneys, Estate Planni
Preslar Holly A
245 NW B St
Grants Pass, OR 97526
(541) 474-6200
Attorneys, Legal Service Plans
Andersen, Kelly L
777 NE 7th St Ste 204
Grants Pass, OR 97526
(541) 237-6032
Social Security & Disability Law Attorneys,  Labor & Employment Law Attorneys,  Insurance Attorneys,
Financial Aid Center for Long Term Care
119 NW E St
Grants Pass, OR 97526
(888) 870-5467
Assisted Living & Elder Care Services, Senior Citizens Services & Organizations, Financial Planning
Myrick Lynn M
620 SW 4th St Ste 101
Grants Pass, OR 97526
(877) 740-5423
Divorce Attorneys,  Attorneys,  Family Law Attorneys,  Civil Litigation & Trial Law Attorneys,  Chil
Peterson Rebecca
247 NW E St
Grants Pass, OR 97526
(541) 472-5291
Attorneys, General Practice Attorneys, Insurance, Legal Service Plans
Josephine County Juvenile Dept
301 NW F St
Grants Pass, OR 97526
(541) 474-5186
Attorneys, County & Parish Government
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US