What is a Limited Liability Company?
A Limited Liability Company, or LLC, is a type of business entity that was introduced by the state of Wyoming in the 1970s. It offers most of the benefits of incorporation (limited liability, professional appearance, separate entity), without a lot of the hassles.
Advantages of the LLC
The Limited Liability Company offers you the following advantages:
- Less Formal Method of Operation - No Board of Directors, Officers
- You can decide how you want to be taxed - as a partnership, individual or corporation
- Can be set up by only one person
- No Need to be A US Citizen
Disadvantages of a LLC
While a LLC has many advantages, it also has several disadvantages:
- Only exists so long as all members are living.
- Less case law
- Hard to find outside investors
- No legal operating agreement required.