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Limited Liability Company

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A limited liability company (LLC) is a corporate arrangement that offers the shareholders of the company, limited liability with respect to a company's general operations. That means that a limited liability company structure provides the owners of the company with protection against personal liability. In addition, a limited liability company may exempt the owners from certain pass-through taxes that may be otherwise applicable. As such, a limited liability company may encompass qualities of both the partnership and a corporation. Commonly, a limited liability company formations are relatively small businesses with a small number of shareholders. Although pertinent laws may vary from state to state, a typical limited liability company is not required to have a board of directors, and the transfer of shares is usually restricted. A limited liability company can be registered at the Office of Secretary of State.



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