SINCE 1974
What is an LLC, Exactly? An LLC (Limited Liability Company) is a business structure that protects its owners (known as members) from personal liability for business debts, shielding personal assets like homes and savings. A Delaware LLC offers flexibility and privacy when structuring the ownership and management. LLC Members have much freedom of contract to […]
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What Does It Mean to Incorporate? A business is formed when the formation involves an “unincorporated” entity. In other words, you do not incorporate LLCs, LPs and partnerships, you form them. When someone talks about incorporating a company, any business lawyer will tell you this means starting a corporation, not forming an LLC. With the […]
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What Is an Umbrella LLC, Exactly? An umbrella LLC is another word for a holding company. An umbrella LLC owns other LLCs that are below it, known as subsidiaries. It effectively shelters those LLCs from cross liability in the event that future litigation results in a judgment creditor trying to collect against assets of a […]
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What Is a 501(c)3 Organization? 501(c)3 is an IRS code section that defines what qualifies as a tax exempt organization under federal law. To receive a tax determination letter from the IRS, approving the 501(c)3 status, a non-stock corporation must submit a Form 1023 or Form 1023-EZ application with the Internal Revenue Service (IRS). A […]
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What Is a General Partnership? A general partnership is formed through implied conduct. This is when two or more individuals agree, either orally or in writing, to engage in business towards a common goal. A general partnership commences upon performance of even preliminary tasks to create the business. This is the default applied anytime two […]
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We often get questions about LLC stockholders, bylaws, stock certificates, directors, minutes and sometimes a Limited Liability “Corporation.” It’s understandable to have questions about how LLCs are structured and operate. Here’s what you need to know. Do LLCs have stock? Typically, “stock” is not the term used for LLC ownership shares. In most LLCs, the […]
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