Many new business owners prefer a limited liability structure because there are ________.
A) fewer corporate formalities
B) fewer lawsuits
C) typically higher profits than other forms of ownership
D) more informal agreements
E) limits on the number of members

Question

Quizplus · Accepted Answer

Limited liability structures, such as a limited liability company (LLC), typically have fewer corporate formalities compared to other forms of ownership, such as corporations. This can save time and money for new business owners who may not have a lot of resources to expend on legal or administrative tasks.

Many New Business Owners Prefer a Limited Liability Structure Because