Can someone tell me what a???

Question

Limited Liability Corporation is?

Answer 1

Look here ----> http://www.legalzoom.com/LLC/Limited-Liability-Corporation.html

Answer 2

There are basically 3 kinds of corparations. General Corporation, S Corporation and a Limited Liability Corporation. Each has it's advantages and disadvantages. An LLC can often protect small buisnesses from having their personal assests endangered if their corporation is sued or has financial difficulties. For more information on the kinds of Corporations - here is a good website:

http://www.morebusiness.com/getting_started/incorporating/d934832501.brc

Hope that helps a little.

Answer 3

A limited liability company (denoted by L.L.C. or LLC in the US) is a legal form of business company offering limited liability to its owners. In that respect, it is similar to a corporation, and is often a more flexible form of ownership, especially suitable for smaller companies with a limited number of owners. Unlike a regular corporation, however, a limited liability company is typically treated as a partnership for tax purposes, thereby avoiding double taxation. It is often incorrectly called a "limited liability corporation" (instead of company).

Answer 4

A limited liability company, like a corporation, is a legal entity existing separately from its owners. A limited liability company is created when proper articles of organization (or the equivalent under the laws of a particular state) are filed with the proper state authority, and all fees are paid. State laws typically impose additional pre or post-creation requirements as well.

A limited liability company is not a partnership or a corporation, but it combines the corporate advantages of limited liability with (normally) the partnership advantage of pass-through taxation.

http://www.4inc.com/llcfaq.htm

Answer 5

Your question has been well covered by the various answers. I would just like to add this perspective. It is an entity in its own rights - like an "individual". Like an individual, various holders with a stake in it will view this differently. Suppliers will view it differently, creditors and bankers , likewise. Governments and the Tax office treats it differently from clubs and societies for example. If it is undercapitalised, finaciers are aware and will fund further growth only with personal director's guarantees where the clause "jointly and severally" is often employed i.e each and every of the directors are liable. Usually they go after the wealthiest of the lot. Know what you are in for! Limited liability often can mean limited growth unless you are exceptionally creative. Banks often lend to those who do not need the money!

Answer 6

just what the term means. the investors in the corporation has a liability that is limited only to their investments. that is if you do not sign any other documents such as the joint suretyship agreement on a personal capacity that banks normally ask stockholders to sign when the corporation takes out a loan.

Answer 7

That means the share holders are liable to the shares that they have only purchased.They needn't to sell their private property in the settlement of the debts of the company.Their liability is limited.

Answer 8

may be that the liability of the promoters is limited only til the amount invested by them in the form of capital..in case of winding up of business they will only loose the amount of capital invested by them.