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 Marysville, WA

Benefits of a Limited Liability Company (LLC) in Marysville, WA


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 WA 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 WA 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 Marysville, WA
    Brian Duce, DUI
    1701 Grove St
    Marysville, WA 98270
    (360) 659-9210
    Attorneys, Legal Service Plans
    Welch Robert E
    10525 State Ave
    Marysville, WA 98271
    (360) 659-8541
    Attorneys, Legal Service Plans
    Nelson Patricia
    1612 4th St # 201
    Marysville, WA 98270
    (360) 659-8068
    Family Law Attorneys, Attorneys, Legal Service Plans
    St Clair Law Office Ps Corp
    1612 4th St Ste 201
    Marysville, WA 98270
    (360) 659-8068
    Attorneys,  Family Law Attorneys,  Divorce Attorneys,  General Practice Attorneys
    Snohomish Bankruptcy
    8825 34th Ave NE Suite L #189
    Marysville, WA 98271
    (360) 334-7924
    Attorneys,  Credit & Debt Counseling,  Bankruptcy Services,  Bankruptcy Law Attorneys
    Passey Linda
    1612 4th St # 100
    Marysville, WA 98270
    (360) 653-6902
    Attorneys, General Practice Attorneys, Legal Service Plans
    Daniel R Laurence
    1802 Grove St
    Marysville, WA 98270
    (360) 436-6897
    Insurance Attorneys,  Attorneys,  Labor & Employment Law Attorneys,  Accident & Property Damage Atto
    Laurence Daniel R
    1802 Grove St
    Marysville, WA 98270
    (360) 436-6897
    Attorneys, Labor & Employment Law Attorneys, Personal Injury Law Attorneys, Insurance Attorneys, Pro
    Dennis Lee Burman Law Office
    1103 9th St
    Marysville, WA 98270
    (360) 654-6321
    Wills, Trusts & Estate Planning Attorneys, Attorneys, Family Law Attorneys, Real Estate Attorneys, L
    Mott David
    15414 Smokey Point Blvd # A
    Marysville, WA 98271
    (360) 435-5656
    Attorneys
    Ashbach Law Offices
    4025 80th St NE Suite B
    Marysville, WA 98270
    (360) 283-5313
    Criminal Law Attorneys,  Domestic Violence Attorneys,  Personal Injury Law Attorneys,  Attorneys,  T
    Lee Kenneth A
    8604 55th Ave NE
    Marysville, WA 98270
    (360) 658-5312
    Attorneys
    Laurence Daniel R
    1802 Grove St
    Marysville, WA 98270
    (360) 657-5150
    Insurance Attorneys, Accident & Property Damage Attorneys, Personal Injury Law Attorneys, Attorneys,
    Baker Gary L Attorney
    1802 Grove St
    Marysville, WA 98270
    (425) 341-4810
    Accident & Property Damage Attorneys,  Attorneys,  Personal Injury Law Attorneys,  Insurance Attorne
    Baker Gary L
    1802 Grove St
    Marysville, WA 98270
    (425) 341-4810
    Probate Law Attorneys, Attorneys, Accident & Property Damage Attorneys, Wills, Trusts & Estate Plann
    Welch Robt E
    4307 105th Pl NE
    Marysville, WA 98271
    (360) 659-3841
    Attorneys, General Practice Attorneys
    Total Attorneys - Divorce
    273951
    Marysville, WA 98271
    (360) 499-3771
    Divorce Attorneys,  Attorneys,  Family Law Attorneys,  Legal Service Plans
    Burman Dennis L
    1103 9th St
    Marysville, WA 98270
    (360) 657-3332
    Attorneys, Bankruptcy Law Attorneys
    Neeleman Jennifer L
    1403 8th St
    Marysville, WA 98270
    (360) 651-2600
    Attorneys,  Bankruptcy Services,  Legal Service Plans,  Bankruptcy Law Attorneys
    Trivett Larry M
    5010 Grove St
    Marysville, WA 98270
    (360) 653-2525
    Attorneys, Criminal Law Attorneys, Wills, Trusts & Estate Planning Attorneys, Real Estate Attorneys,
    Paratte Michele O
    5010 Grove St
    Marysville, WA 98270
    (360) 659-0833
    General Practice Attorneys, Attorneys
    Bankruptcy Attorney - Caren Sassower
    221 State Ave Suite C #212
    Marysville, WA 98270
    (360) 713-0238
    Bankruptcy Law Attorneys, Business Bankruptcy Law Attorneys
    12Law.com   |  NASHVILLE, TN USA   |  CONTACT US