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Often, we hear the term “Limited Liability Corporation” used to refer to the business structure known as the “LLC.” This is incorrect. The correct term for this business structure is “Limited Liability Company.”

The Limited Liability Company (or “LLC”) is similar to a corporation in that it offers its owners, referred to as “members” instead of “shareholders,” the same limited liability afforded to the owners of corporations. The LLC, however, is NOT a corporation at all. In fact, in most jurisdictions, the laws governing the LLC come from an entirely different set of statutes than those laws governing corporations.

In recent years, the LLC has grown in popularity due to its minimal formalities combined with its asset protection for its owners. See these VERY relevant links for more detailed info about the LLC:

VIDEO: How the LLC treats profits very differently from the S Corporation

Benefits of the LLC

Where to Form an LLC
Which state is Best? Should I form an LLC in Delaware, Nevada, or my home state?