100_7708.JPG

What is a Wyoming LLC

LLC is short for Limited Liability Company

Limited Liability Company

A Wyoming LLC is a legal entity organized in the State of Wyoming. The State of Wyoming is the first state to enact legislation to create a business entity sepeeperate from its owners. A Wyoming LLC allows protection from personal liability. Each member's liability is limited to their investment in the company. This type of organization is free from double taxation of that of a corporation.

Limited Liability

Members liability is limited to their investment in the organization.

Name Requirement

The organization can contain several different abbreviations; LLC, L.L.C., LC, L.C, Ltd. Liability Co., Limited Liability Co.

Governing Law

Wyoming Limited Liability Company Act (W.S. 17-29-101)

Formation

A limited liability company can be formed by filing an articles of organization with the secretary of state.

Tax

Members pay taxes similar to a partnership. Avoids double taxation. Also Wyoming does not have a co corporate income tax.

Duration

A company can either be perpetual or dissolve over a set period of time.

Advantages

  • Separate Legal Entity | A creditor cannot seek personal assets of any member of a limited liability company.

  • Tax Advantage | No subject to double taxation. Members pay tax on their share of the profits.

  • Number of Investors | Can have unlimited number of investors/members.

Disadvantages

  • Ownership Transfer | Members must vote to transfer anoher member's interest in the comany.

  • Expensive to Form | Legally complicated to form.