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Is registering your business the same as an LLC?
It is important to note that obtaining a business license is not the same as forming an LLC or other legal entity for your business. The license approves your engagement in a specific business in a certain jurisdiction; an LLC provides an official, legally-recognized business entity.
Is an LLC considered a business?
A limited liability company (LLC) is a business structure in the U.S. that protects its owners from personal responsibility for its debts or liabilities. Limited liability companies are hybrid entities that combine the characteristics of a corporation with those of a partnership or sole proprietorship.
Do I need an LLC for my small business?
You don’t need an LLC to start a business, but, for many businesses the benefits of an LLC far outweigh the cost and hassle of setting one up. You can also get those things by forming a corporation or other type of business entity. It’s also perfectly legal to open a business without setting up any formal structure.
What kind of business can LLC do?
LLCs can be used to own and run almost any type of business. However, in some states some types of professionals must form special professional LLCs. An LLC can be used for a business of any size—from one-owner operations to businesses with many co-owners.
What kind of business needs an LLC?
If you have a small business, either a sole proprietorship or partnership, you should take a serious look at creating an LLC. That will enable you to gain important legal protection for your personal assets, without disturbing the management and income flow of your business.
What is an LLC license?
An LLC license is the paperwork that indicates that you have successfully created and set up a limited liability company. A limited liability company is a business that allows for certain personal and financial liability protections for all owners or members of the business.
Is owning an LLC considered self-employed?
LLC members are considered self-employed business owners rather than employees of the LLC so they are not subject to tax withholding. Instead, each LLC member is responsible for setting aside enough money to pay taxes on that member’s share of the profits.
Is a LLC considered a business license?
An LLC is a Limited Liability Company, which is a form of a corporation that limits your liability in the event of a lawsuit and allows you to be taxed as a partnership rather than as a corporation. Depending upon the industry you are involved in, additional business licenses may be required by your state or county authorities.
How do I become a LLC?
Submit filing fees. The cost of filing a new LLC with a state government is typically between $100 and $800, but this can vary. Check with your state prior to filing (see “Resources”). Obtain the business and occupational licenses and permits that your state may require before your LLC is allowed to operate.
How to apply for LLC license?
Choose a Business Name. It’s important to spend some time thinking about your new LLC’s business name.
How to get a LLC?
Choose a Name for Your LLC