Congratulations on your new business venture!
So you have finally made the decision to go into business for yourself. It is exciting and a little scary all at the same time. You want to make informed decisions to guarantee your success but you find yourself in unchartered waters. Should you become an LLC, and why? You know you want to protect your personal assets from your business liabilities so you need to know the advantages as well as the disadvantages of organizing as an LLC.
LLC stands for Limited Liability Company. Defined as a business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation. Let’s say that your business was facing a lawsuit……with limited liability…..only the assets of the business itself are at risk which is a good thing. Your personal property such as your home or vehicles would be excluded.