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 75750

Advantages and Disadvantages of a Limited Liability Company (LLC) in Zip Code 75750


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 TX 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 TX 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 75750
Murray & Associates, P.C.
13740 N Highway 183
Austin, TX 78750
(512) 336-9994
Business Law Attorneys,  Family Law Attorneys,  Estate Planning, Probate, & Living Trusts,  Bankru
Ricardo Gonzalez
2004 W Jefferson Ave # 1
Harlingen, TX 78550
(956) 425-9990
General Practice Attorneys, Attorneys
Tim Weatherly
1014 23rd St
Galveston, TX 77550
(409) 762-9868
Attorneys, Criminal Law Attorneys
Hindman Margaret T
305 21st St
Galveston, TX 77550
(409) 770-9797
Attorneys, Legal Service Plans
Herzog & Carp Law
427 Mason Park Blvd
Katy, TX 77450
(281) 944-9784
Attorneys,  Banking & Mortgage Law Attorneys,  Civil Litigation & Trial Law Attorneys,  Litigation &
Rekoff Jyll
2200 Market St
Galveston, TX 77550
(409) 770-9704
General Practice Attorneys, Attorneys
Sarabia Robert
410 E Main St
Grand Prairie, TX 75050
(972) 642-9607
Attorneys, Legal Service Plans
Garza Law Firm LLLP
13740 N Highway 183
Austin, TX 78750
(512) 853-9599
Divorce Attorneys,  Personal Injury Law Attorneys,  Automobile Accident Attorneys,  Attorneys,  Fami
Tylka Law Firm
305 21st St Ste 140
Galveston, TX 77550
(877) 228-9552
Attorneys, Accident & Property Damage Attorneys, General Practice Attorneys, Legal Service Plans
Violet N'okoye
1106 N State Highway 360 Ste 317
Grand Prairie, TX 75050
(972) 213-9335
Attorneys, General Practice Attorneys
Stapleton Jerry
515 E Harrison Ave
Harlingen, TX 78550
(956) 428-9191
Civil Litigation & Trial Law Attorneys, Attorneys, General Practice Attorneys
Steinberg Law Firm PC
1826 Sealy St
Galveston, TX 77550
(409) 762-9090
Attorneys, General Practice Attorneys, Legal Service Plans
Burdine's Unique Mediation Service
6801 E Fm 916
Grandview, TX 76050
(817) 517-8973
Mediation Services, Attorneys, Legal Service Plans
Evan Stubbs
202 N Porter St
Lampasas, TX 76550
(512) 556-8970
Attorneys, DUI & DWI Attorneys
Walker David P
1919 Sealy St
Galveston, TX 77550
(409) 762-8960
Criminal Law Attorneys, Attorneys, Legal Service Plans
Solis Jim
1021 S F St
Harlingen, TX 78550
(956) 425-8683
General Practice Attorneys, Attorneys, Legal Service Plans
Gradel, Robert J
107 E 2nd St
Lampasas, TX 76550
(512) 556-8234
Family Law Attorneys,  Adoption Law Attorneys,  Child Custody Attorneys,  Civil Litigation & Trial L
Richard L Turner
3224 Interstate 30
Mesquite, TX 75150
(972) 681-7851
Attorneys,  Probate Law Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Business Litigation A
Krenek Eddie
419 Mason Park Blvd
Katy, TX 77450
(281) 578-7711
Attorneys, General Practice Attorneys
Billingham Karen
18601 L B J Frwy
Mesquite, TX 75150
(972) 682-7711
Family Law Attorneys,  Estate Planning, Probate, & Living Trusts,  Attorneys,  Financial Services
Carp David A Atty
427 Mason Park Blvd
Katy, TX 77450
(713) 781-7500
Banking & Mortgage Law Attorneys,  Civil Litigation & Trial Law Attorneys,  Litigation & Tort Attorn
Adams & Graham LLP
134 E Van Buren Ave
Harlingen, TX 78550
(956) 428-7495
Attorneys,  Civil Litigation & Trial Law Attorneys,  Mediation Services,  Professional Liability & N
Montgomery Elton M
1 National Bank Bldg
Graham, TX 76450
(940) 549-7400
Environment & Natural Resources Law Attorneys, Attorneys
Hodge & James Llp
115 E Van Buren Ave
Harlingen, TX 78550
(956) 425-7400
General Practice Attorneys, Litigation & Tort Attorneys, Attorneys
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US