Form a Massachusetts LLC.

An LLC entity gives you asset protection

For business that choose an LLC business structure, personal assets are considered separate from the personal interest invested in the company. This means that debts and liabilities incurred are the responsibility of the business rather than its members.

An LLC entity is taxed on pass-through basis

LLC are taxed on a pass-through basis, meaning the profits and losses of LLCs are paid out by each individual owner and are only reflected on their personal income tax returns. LLCs with multiple owners, however, must file a purely informational tax return for their business, while LLCs held by a single member do not.

An LLC entity gives you asset protection

Limited Liability Company (LLC) The United Sates Internal Revenue Service describes an LLC as A Limited Liability Company (LLC) is a business structure allowed by state statute. Each state may use different regulations, you should check with your state if you are interested in starting a Limited Liability Company.

Owners of an LLC are called members. Most states do not restrict ownership, so members may include individuals, corporations, other LLCs and foreign entities. There is no maximum number of members. Most states also permit “single member” LLCs, those having only one owner.

Who cannot file an LLC?

A few types of businesses generally cannot be LLCs, such as banks and insurance companies. Check your state’s requirements and the federal tax regulations for further information. There are special rules for foreign LLCs.