Quimbee logo
DMCA.com Protection Status

Limited-Liability Company

Limited-Liability Company

Definition

Also known as an "LLC," generally, a popular type of business association that affords its equity owners not only the same limited-liability protections as a corporation, but also operational and organizational flexibility similar to the general partnership. Generally, the company is treated as a separate entity from its equity owners. However, for tax purposes, the company is usually disregarded as a separate entity, such that its income, deductions, profits, losses, asset basis, and other items are typically allocated to its individual equity owners, in proportion to their ownership interests.

Get full access FREE

With a 7-Day free trial membership
Here's why 583,000 law students have relied on our key terms:
  • A complete online legal dictionary of law terms and legal definitions
  • Over 6,600 key terms written in plain English to help you not only understand the law but master it
  • The premier online law dictionary built specifically for law students
  • Easy access in class or on the go, accessible both online and through the Quimbee mobile app
  • Reliable - written by legal professors and practitioners
  • Get instant access to all related rules of law to any specific key term with a Quimbee Study Aid plan

Get full access FREE

With a 7-Day free trial membership