Limited Liability Company

Limited Liability Company

A limited liability company is a private limited company with more than one Owner. The owners of an LLC are liable to the debts of the Company to the extent of the number of shares they own. In a Limited Liability Company structure, the owners are not personally liable for the debts or liabilities of the Company.

A Limited Liability Company operates in a hybrid form, taking characteristics and patterns from Corporations, Sole Proprietorships, and that of a Partnership. The Owners of an LLC are referred to as Members, where a Board is formed and a Chairman of the Board is elected. LLC is allowed to operate under States status, the reason each state can have its own different modus operandi

Membership of a Limited liability Company can be attained by an Individual, Foreigners, Corporations, Foreign Entities and even other Limited Liability Companies can be a member of another LLC. In LLC, a more formal partnership agreement between the Members is formed which is why an Article of Incorporation or Organisation is filed in the CAC while registering your Business as an LLC. Limited Liability Companies don’t Pay Taxes themselves but do so as an Entity