The legal business form of the LLC, or Limited Liability Company, offers the benefits of several other traditional business forms. Like a sole proprietorship or partnership, an LLC is not taxed as its own entity. However, it still has the advantage of limited liability, the same as a corporation. Also like corporations, LLC's can have as many shareholders, or members, as it likes. Unlike a corporation however, the death or bankruptcy of one of the members will dissolve the LLC. Business forms with limited liability have existed for hundreds of years, but the modern LLC became more popular in Louisiana since the legislature enacted laws authorizing its formation.
Can My Business Be Formed as an LLC?
Businesses in Louisiana can organize using whatever form they choose. The office of the Secretary of State is the organization that accepts filings by those who want to open LLC's. However, some charge additional fees for the formation of LLC?s, and in Louisiana there are particular laws that govern the actions of LLC?s. When deciding whether to form a LLC, you should consider which laws would apply to your company. Although it may take some time to find, choosing the right business structure for your company will lead to increased profitability.
Can I Change the Form of My Business to an LLC?
Changing business forms in Jefferson Parish can be done if a company's situation meets specific conditions. Conversion to a LLC is possible if Louisiana law permits it in your situation.
How Can an Attorney Help?
A lawyer versed in Louisiana business law will be able to advise you of the benefits and costs for forming and maintaining a LLC.