Business Law

LLC Formation Overview

Create or update your own LLC Operating Agreement.

Lawyer.com's LLC Operating Agreement helps you form an LLC company in your state.

 

What is an LLC

An LLC or limited liability company is a way to set up your company to reduce your personal liability for business activities, and can get you some tax benefits.

Formation requires its members to file a certificate of formation or a similar LLC certificate with the Secretary of State where it’ll operate. This governs the LLC's affairs.

States vary widely on what must be contained in the articles of incorporation, but usually you must list the company or LLC name, address, and the name of its registered agent. This person is responsible for accepting legal and tax documents on behalf of the enterprise.

Why should I form an LLC?

  • LLCs are easy start and maintain
  • It has a flexible management and ownership structure
  • Members are typically not liable for the debts of the LLC
  • Income and losses can be passed through to members
  • LLCs do not have the same business formalities as a corporation

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