LLC Answers

This is a pretty popular question asked by existing corporation businesses.  The LLC is a much simpler entity to maintain and it offers a lot more flexibility when it comes to structuring ownership and management of a business.

Some states directly address this question. In these states the laws actually have a method for converting an existing corporation in that state into an LLC.  This is usually done with the preparation and submission of certain filing documents with the state corporation agency.  The specific details are … Continue Reading

Many business owners want to compare an LLC to a corporation when deciding which legal entity is best for their business.

Both forms offer limited liability protection for their owners.

Generally, the LLC is ideal for the small business enterprise where the ownership is held by one or just a few owners.  The LLC offers more tax choices and a simpler structure which has lesser requirements when it comes to maintenance and governance. The LLC is also a more flexible entity which allows owners to operate their business the way they want.

The corporation is the older of the two entities and is … Continue Reading

Many business owners who currently operate an existing business as a sole proprietorship desire to use a limited liability company for that business.  This is the best decision a sole proprietor can make as he or she will benefit from the limited liability protection of an LLC as well as the other many LLC benefits.

Because a sole proprietorship is a business which is not housed in a current legal vehicle (such as an LLC, corporation or partnership), there is only one way to accomplish this.  The sole proprietor will form an LLC and then need to transfer the individual assets and liabilities of the … Continue Reading