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 Lenhartsville, PA

Benefits of a Limited Liability Company (LLC) in Lenhartsville, PA


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 PA 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 PA 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 Lenhartsville, PA
    Malski-Pezak Theresa
    907 Church St
    Jessup, PA 18434
    (570) 383-9566
    Attorneys, Family Law Attorneys, Legal Service Plans
    Pride Law
    957 Castle Shannon Blvd Floor 1
    Pittsburgh, PA 15234
    (866) 729-9163
    Mediation Services,  Child Custody Attorneys,  Divorce Attorneys,  Family Law Attorneys,  Attorneys
    Bubba Joseph A
    4001 Schoolhouse Ln
    Center Valley, PA 18034
    (610) 797-9000
    Attorneys, General Practice Attorneys
    Nesfeder Michael R
    4001 Schoolhouse Ln
    Center Valley, PA 18034
    (610) 797-9000
    Attorneys,  Civil Litigation & Trial Law Attorneys,  Personal Injury Law Attorneys,  Insurance Attor
    Richmond Mills LP
    3233 Amber St
    Philadelphia, PA 19134
    (215) 425-8900
    Attorneys, Legal Service Plans
    White & Williams LLP
    3701 Corporate Pkwy Ste 300
    Center Valley, PA 18034
    (610) 435-8414
    Administrative & Governmental Law Attorneys, Attorneys, Legal Service Plans
    Colleen Butcher
    3754 Willow Ave
    Pittsburgh, PA 15234
    (412) 892-8302
    Attorneys
    Good & Harris LLP
    132 W Main
    Intercourse, PA 17534
    (717) 768-8300
    Probate Law Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys
    New Leaf Mediation Group
    500 Office Center Dr
    Fort Washington, PA 19034
    (877) 346-8092
    Child Custody Attorneys,  Divorce Attorneys,  Family Law Attorneys,  General Practice Attorneys,  Ar
    Kendall Peter W
    426 Pennsylvania Ave # 215
    Fort Washington, PA 19034
    (215) 643-7780
    Attorneys, General Practice Attorneys
    J F Morris
    300 Mount Lebanon Blvd
    Pittsburgh, PA 15234
    (412) 563-7678
    Attorneys, Legal Service Plans
    Ross Glenn M
    566 S Bethlehem Pike
    Fort Washington, PA 19034
    (215) 643-7200
    Attorneys, Legal Service Plans
    Starfield & Smith
    1300 Virginia Dr # 325
    Fort Washington, PA 19034
    (215) 542-7070
    Personal Injury Law Attorneys, Attorneys, Legal Service Plans
    Byler Goodley & Winkle PC
    7 Center
    Intercourse, PA 17534
    (717) 768-7010
    General Practice Attorneys, Attorneys, Legal Service Plans
    Clarke Andrea W
    713 E Allegheny Ave
    Philadelphia, PA 19134
    (215) 423-6291
    General Practice Attorneys, Attorneys, Legal Service Plans
    Frayer Law Offices
    250 Mount Lebanon Blvd # 207
    Pittsburgh, PA 15234
    (412) 571-6206
    Estate Planning, Probate, & Living Trusts, Elder Law Attorneys, Estate Planning Attorneys, Probate L
    Karen Ann Ulmer, P.C.
    7237 Hollywood Rd
    Fort Washington, PA 19034
    (215) 752-6200
    Estate Planning Attorneys, Attorneys, Family Law Attorneys, Divorce Attorneys, Wills, Trusts & Estat
    McKay & Associates, P.C.
    3755 Library Rd Suite 301
    Pittsburgh, PA 15234
    (412) 344-6110
    Patent, Trademark & Copyright Law Attorneys,  Bankruptcy Law Attorneys,  Attorneys,  Personal Prope
    Keddie Robert B
    250 Mount Lebanon Blvd # 309
    Pittsburgh, PA 15234
    (412) 563-6100
    General Practice Attorneys, Attorneys, Legal Service Plans
    Weiman and Weiman
    3312 Kensington Ave
    Philadelphia, PA 19134
    (215) 739-6080
    Attorneys, Legal Service Plans, Real Estate Buyer Brokers
    Jacquette James M
    400 Maryland Dr
    Fort Washington, PA 19034
    (215) 646-6000
    General Practice Attorneys, Attorneys
    Dayno Karen S Atty
    400 Maryland Dr
    Fort Washington, PA 19034
    (610) 646-6000
    General Practice Attorneys, Attorneys
    Mcaneny John J
    400 Maryland Dr
    Fort Washington, PA 19034
    (215) 646-6000
    General Practice Attorneys, Attorneys
    Peale Michael O'Hara Jr
    400 Maryland Dr
    Fort Washington, PA 19034
    (215) 646-6000
    General Practice Attorneys, Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US