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What is a limited liability company (LLC)?
What is a limited liability company (LLC)?
Updated over 8 months ago

The limited liability company (LLC) is a corporate structure that protects its owners from being personally pursued for repayment of the company's debts or liabilities. Other key things to keep in mind:

  • Regulation of LLCs varies from state to state.

  • Any entity or individual can be a member of an LLC with the notable exceptions of banks and insurance companies.

  • LLCs do not pay taxes on their profits directly.

  • Their profits and losses are passed through to members, who report them on their tax returns.

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