The LLC, or Limited Liability Company, is a business structure that was invented to offer an array of benefits usually provided by other traditional business forms. An LLC enjoys the same type of limited liability as a corporation, but like the sole proprietorship and partnership, it is not taxed as its own entity. LLC's, like corporations, can also have as many shareholders, or members, as desired. The LLC, however, is dissolved if one of those members files for bankruptcy or dies. Limited liability has historically been a primary goal of many business forms, but since the legislature authorized it in North Dakota, the modern LLC has become increasingly popular.
Can My Business Be Formed as an LLC?
In North Dakota, a business can be formed using the form that it chooses. Opening an LLC simply requires that the business founders file a form with the Secretary of State. However, some charge additional fees for the formation of LLC?s, and in North Dakota there are certain 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 Wahpeton can be done if a company's situation meets particular conditions. Conversion to a LLC is possible if North Dakota law permits it in your situation.
How Can an Attorney Help?
A lawyer versed in North Dakota business law will be able to advise you of the benefits and costs for forming and maintaining a LLC.