Colorado and Wyoming Attorneys
Limited Liability Companies (LLC)
A Limited Liability Company (“LLC”), is often created to produce a streamlined way to operate a business and to obtain protection from potentially devastating claims against the assets and operations of the business. An LLC is created by persons (members/managers), and creates a legally recognized entity or “legal person” which holds its own assets, incurs its own liabilities, and operates for a specified business purpose independently from the personal assets of its members and managers.
The LLC business entity can be an alternative to forming a corporation, and it allows for simplified operational and tax treatment. Most importantly, a properly created and operated LLC will shield its members and managers from personal liability for the LLC’s debts and legal responsibilities. This reason alone supports the creation of a shielded commercial or not-for-profit organization, or a similar business entity when individuals decide to enter the business environment. (By contrast, a sole proprietor’s business subjects its owner to personal liability for his/her company’s business liabilities, and to claims against the business assets).
A Limited Liability Company in good standing requires creation and registry with the local Secretary of State, requires documents drafted to prove the purpose and operation of the new entity, and requires record keeping to prove future compliance with state requirements and reporting to retain its liability insulation. Our firm can assist you with the initial set up and creation of your LLC, can file and secure the appropriate filings, and can provide you with operational documents and instructions to keep your LLC operating within the law going forward.