The owners of Idle Time Gaming Company would like to become an S corporation. Unfortunately, their lawyer advised them that they do not meet some of the requirements necessary to qualify as an S corporation. An alternative form of business that would give them similar advantages is a limited liability company.

Question

Quizplus · Accepted Answer

A limited liability company (LLC) can offer many of the same advantages as an S corporation, such as pass-through taxation and limited liability protection. Additionally, LLCs have fewer restrictions and requirements than S corporations, making them a more flexible option for small businesses.

The Owners of Idle Time Gaming Company Would Like to Become