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 Mineral Springs, PA

Benefits of a Limited Liability Company (LLC) in Mineral Springs, 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 Mineral Springs, PA
    Pecht & Associates PC
    1205 Manor Dr
    Mechanicsburg, PA 17055
    (717) 691-9808
    Estate Planning Attorneys, Attorneys, Wills, Trusts & Estate Planning Attorneys, Corporation & Partn
    Sunday Collaborative Law
    39 W. Main St.
    Mechanicsburg, PA 17055
    (717) 766-9622
    Mediation Services, Family Law Attorneys
    Sunday Dawn S
    39 W Main St # 1
    Mechanicsburg, PA 17055
    (717) 766-9622
    General Practice Attorneys, Attorneys
    Tidd David W
    516 Main St
    Hellertown, PA 18055
    (610) 838-8700
    Bankruptcy Law Attorneys, Attorneys, Criminal Law Attorneys, Divorce Attorneys
    Tidd & Cook
    1406 Main St
    Hellertown, PA 18055
    (610) 838-8700
    Attorneys, General Practice Attorneys
    Flynn Thomas W III Atty
    29 Sandy Ln
    Malvern, PA 19355
    (610) 644-8118
    General Practice Attorneys, Attorneys
    Duane Morris LLP Attys
    200 Chesterfield Pkwy
    Malvern, PA 19355
    (610) 251-6900
    General Practice Attorneys, Attorneys
    Gantz Law Offices
    7 3rd Ave
    Malvern, PA 19355
    (610) 644-6437
    Real Estate Attorneys
    Kellogg Thomas R Atty
    1745 Indian Run Rd
    Malvern, PA 19355
    (610) 644-6152
    General Practice Attorneys, Attorneys
    Mc Carthy III William J
    1319 Main St
    Hellertown, PA 18055
    (610) 838-6050
    Attorneys, Legal Service Plans
    Stradley Ronon Stevens & Young
    30 Valley Stream Pkwy
    Malvern, PA 19355
    (610) 640-5800
    Attorneys,  Tax Attorneys,  Banking & Mortgage Law Attorneys,  Real Estate Attorneys,  General Pract
    Dohan Andrew H
    460 E King Rd
    Malvern, PA 19355
    (610) 722-5800
    Accident & Property Damage Attorneys, Attorneys, Legal Service Plans
    Gordon Charles W
    656 Main St
    Hellertown, PA 18055
    (610) 838-5500
    Attorneys, Criminal Law Attorneys, Family Law Attorneys, Wills, Trusts & Estate Planning Attorneys,
    Wagner Bradford D
    662 Main St
    Hellertown, PA 18055
    (610) 709-5499
    Estate Planning Attorneys,  Attorneys,  Elder Law Attorneys,  Estate Planning, Probate, & Living T
    Hazlett Gregory S Attorney-At-Law
    7 W Main St
    Mechanicsburg, PA 17055
    (717) 610-4984
    Attorneys, Litigation & Tort Attorneys, General Practice Attorneys
    Giordano Law
    221 West Main Street
    Mechanicsburg, PA 17055
    (717) 745-4160
    Elder Law Attorneys, Social Security & Disability Law Attorneys, Wills, Trusts & Estate Planning Att
    Jarmon Legal LLC
    101 Lindenwood Drive, Suite 22
    Malvern, PA 19355
    (484) 999-4149
    Criminal Law Attorneys, DUI & DWI Attorneys, Traffic Law Attorneys, Attorneys
    Reynolds Family Law
    5 Great Valley Pkwy Ste 213
    Malvern, PA 19355
    (610) 648-3840
    Family Law Attorneys, Attorneys, Legal Service Plans
    Attorneys Abstract
    116 E King St
    Malvern, PA 19355
    (610) 296-3701
    Abstracters,  Attorneys,  General Practice Attorneys,  Title Companies
    Dupler D A Atty
    333 Lancaster AVE
    Malvern, PA 19355
    (610) 644-3665
    Attorneys, Legal Service Plans
    Elder Keystone Law Pc
    555 Gettysburg Pike
    Mechanicsburg, PA 17055
    (717) 697-3223
    Attorneys, Legal Service Plans, Real Estate Attorneys, Estate Planning Attorneys
    Keystone Elder Law P.C
    555 Gettysburg Rd
    Mechanicsburg, PA 17055
    (717) 697-3223
    Attorneys, Real Estate Attorneys, Personal Property Law Attorneys, Trust Companies, Elder Law Attorn
    Berkowitz Klein LLP
    629 B Swedesford Rd.
    Malvern, PA 19355
    (610) 889-3200
    Business Litigation Attorneys, Attorneys, Business Law Attorneys
    Hennessy Law
    101 Lindenwood Dr # 225
    Malvern, PA 19355
    (484) 875-3111
    Attorneys Referral & Information Service
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US