There are so many benefits to forming a Limited Liability Company (LLC) when doing business. There are so many, that it was hard to narrow it down to the top four, but we got it done. Here is a list of, in our opinion, the top four benefits of forming an LLC for your business. Let's jump right into them!
Disclaimer: The contents of this post are based on Texas Law.
1. Limited Personal Liability
Establishing a Limited Liability Company (LLC) will structure your business in a way that limits your personal liability while engaging in business ventures. See What is a LLC & Why You Need One post for more information on LLC's.
2. Personal Asset Protection
If an angry customer wants to sue, they would go after the LLC. Generally, they would not sue you personally for incidents that occur in relation to your business.
3. Pass Through Taxes
Unlike corporations, that experience double taxation, LLC's benefit from what we call "pass through taxes". They are essentially only taxed once rather than twice. Depending on the number of members in the LLC, you are able to elect how you will be taxed (i.e., a disregarded entity, S.Corporation, etc.).
4. Gives Your Business Instant Credibility
When customers see that your business name is followed by "LLC" (or any variation thereof), your business is given instant credibility. Potential clients and customers get the impression that you're serious about your business. So much so that you have taken the proper steps to structure your business as a legal entity. That speaks volumes to potential clients and customers.
If you’re ready to form your LLC, reach out to our office. Once retained, we will walk you through the process and be with you every step of the way as we get your LLC formed. We are waiting for your call. Let’s get you set up properly today! You can book a confidential consultation through our online scheduling tool. We would love to earn your business.
This is general information and is not intended to be legal advice. For legal advice, please contact a lawyer.
www.lktlawoffice.com | 832.4120.LAW | @Lktlawoffice | Lktlawoffice@gmail.com
Comentarios