Forming an LLC in Washington, DC
Forming an LLC in Washington, DC is quick and easy. You can form your Washington, DC LLC online right here on our website. The process is surprisingly simple, and considering all the benefits, it is certainly worth the trouble. For entrepreneurs looking to reduce their tax liability and to limit personal exposure, forming an LLC may be the best route. This is because, although, C and S Corps also limit personal liability, LLCs are simpler and less expensive to create while offering greater flexibility.
LLC is an acronym for Limited Liability Company. This business structure offers more flexibility and personal protection than a corporation. An owner of an LLC is not referred to as a shareholder but as a member, member partner, or a managing member governed by an amendable operating agreement rather than by bylaws that govern the activities of corporate structures. LLCs in Washington, DC are created through the Articles of Organization, Articles of Formation, or Certificate of Formation (depending on the state) rather than the traditional Articles of Incorporation.
LLC formation allows members to enjoy the privilege of receiving distributions without regard to investment or capitalization contributions, and without regard to the amount of percent ownership. In other words, owners can receive a distribution in any amount they wish without regard to the amount other owners might receive, and without regard to the percent they own.
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- LLC vs Corporation
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