LLC
LLC definition - finance
A
Limited Liability Company is a
legal company that has a limited existence. It is neither a corporation nor a
partnership. The LLC can be dissolved when a member dies, resigns, or files for
bankruptcy protection, unless the remaining members unanimously vote to
continue the business. The LLC has a termination date in the Articles of
Organization, but the operating agreement can be written to avoid that end
result. An LLC allows taxes that
are owed on income to pass through directly to the owners, who have to report
the income on their income tax forms.
Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.
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