Notes- Chapter 37

Notes- Chapter 37 - Chapter 37 Limited Liability Companies...

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Chapter 37- Limited Liability Companies and Special Business Forms Limited Liability Company (LLC)- hybrid form that combines the limited liability aspects of the corporation and the tax advantages of a partnership Limited Liability Companies Evolution of the LLC - Taxed as partnerships instead of corporations - Foreign entities may be LLC members Nature of the LLC - Like corporations, LLCs must be formed and operated in compliance with state law. - Like the shareholders of corporation, the members of the LLC have limited liability - LLCs are legal entities LLC Formation - Articles of organization must be filed with a central state agency, usually the secretary of state office. Jurisdictional Requirements - Courts tend to regard LLCs as entities as citizens of every state in which their members are citizens Advantages and Disadvantages of the LLC - Advantages o Members not personally liable o Flexibility in regards to both taxation and management o
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This note was uploaded on 11/18/2010 for the course MGMT 108 taught by Professor Guerin during the Spring '08 term at UCLA.

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Notes- Chapter 37 - Chapter 37 Limited Liability Companies...

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