Which of the following is an advantage of limited liability companies?
A)Limited liability companies can have any number of owners.
B)The process of formation of limited liability companies is simple and fast.
C)Limited liability companies have a limited number of owners.
D)The foreign status in states other than the ones in which they are organized is not applicable to limited liability companies.

Question

Which of the following is an advantage of limited liability companies?​
A)Limited liability companies can have any number of owners.
B)The process of formation of limited liability companies is simple and fast.
C)Limited liability companies have a limited number of owners.
D)The foreign status in states other than the ones in which they are organized is not applicable to limited liability companies.

Quizplus · Accepted Answer

Limited liability companies (LLCs) can have any number of owners, from single-member LLCs to multi-member LLCs. This flexibility allows for greater ease in adding or removing owners as business needs and circumstances change. Furthermore, each owner's personal assets remain protected from any financial liability the company incurs. This is known as limited liability protection, which is a key advantage of LLCs.

Which of the Following Is an Advantage of Limited Liability