The Limited Liability Company, or LLC, is a legal business structure that seeks to combine advantages from across several other traditional business forms. A LLC has the advantages of a corporation's limited liability, but avoids double taxation like a partnership or sole proprietorship. Also like corporations, LLC's may 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 Pennsylvania since the legislature enacted laws authorizing its creation.
Can My Business Be Formed as an LLC?
Businesses in Pennsylvania may 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. Fees are regularly charged for opening LLC's, however, and Pennsylvania law determines the costs for creating LLC's. When deciding whether to form a LLC, you should consider which laws would apply to your company. Although it might 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?
Under particular conditions, a business in Birdsboro may change its form. Eligibility for conversion to a LLC is determined by Pennsylvania law.
How Can an Attorney Help?
A lawyer versed in Pennsylvania business law will be able to advise you of the advantages and costs for forming and maintaining a LLC.