If so, then consider the Limited Liability Company (LLC). Enacted into Florida law in 1982, the LLC is rapidly becoming the business entity of choice. The (LLC) is a legal entity created under state law that is separate and distinct from its owners (referred to as “members”). Like any other separate legal entity, the LLC may:
- Own property
- Incur debts
- Enter into contracts
- Sue or be sued
Why are they so popular?!?!?!? The LLC affords its members:
- Limited liability with respect to the business activity
- Complete pass-through of tax advantages with the proper elections
- Operational flexibility, even in the area of sharing profits and distributions
- No limit on the number and type of members (can even have a foreign member)
- Management participation by all members
- Can even have a single member! (applies to a sole proprietor who did not have any protection from liability)
- Can actually separate rights within the entity (economic vs. management)
For more information or assistance in setting up your Limited Liability Company please contact us.
