Limited Liability

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Dictionary Says

Definition of 'Limited Liability'

A type of liability that does not exceed the initial amount a person invested into a partnership.
Investopedia Says

Investopedia explains 'Limited Liability'

Limited liability refers to the terms of limited partnerships, which comprise at least one general partner, who takes on unlimited liability, and one or more limited partners, who would never lose more than their original initial investment in fulfilling the partnership's obligations. Limited liability protects a partner's personal assets from being liquidated should the company become insolvent.

Additionally, limited liability can refer to an investment that has limited downside risk, such as a long position in a stock, with which the investor can lose no more than his or her initial investment.
Search results for

'Limited Liability'

  • I am starting a limited liability company (LLC). I will be the ...

    http://www.investopedia.com/ask/answers/05/LLCIRA.asp
    A limited liability company (LLC) is eligible to establish a simplified employee
    pension (SEP). ... I am starting a limited liability company (LLC). ...

  • Protect Your Personal Assets

    http://www.investopedia.com/articles/pf/08/family-limited-partnership.asp
    ... individual, such as the parent(s) of the family establishing the FLP, or it may
    be an entity, such as a corporation or limited liability company controlled by ...

  • Asset Protection For The Business Owner

    http://www.investopedia.com/articles/pf/08/asset-protection-business.asp
    ... There are several types of corporations that are used to protect assets: business
    or C corporations, S corporations and limited liability companies (LLCs). ...

  • If you have a house that is under your company name and you want ...

    http://www.investopedia.com/ask/answers/12/capital-gains-taxes-home-sales.asp
    ... Single-Member Limited Liability Company ("LLC") and Sole Proprietorship Single-member
    LLCs and sole proprietorships are taxed the same way at the federal level ...

  • Starting A Small Business: Business Structures | Investopedia

    http://www.investopedia.com/university/small-business/protect.asp
    ... One of the biggest advantages of a sole proprietorship is the ease with which business
    decisions are made. LLC An LLC is a limited liability company. ...

  • Should You Incorporate Your Business?

    http://www.investopedia.com/articles/pf/08/incorporate-business.asp
    ... The reduction of personal liability or taxes is achieved by incorporating as a
    limited liability company (LLC) or as an S-corporation (S-corp). ...

  • Series 65 Study Guide - Analyzing Your Client's Financial Profile ...

    http://www.investopedia.com/exam-guide/series-65/analyzing-client-profile/client-type.asp
    ... Limited Liability Corporation - this type of structure allows protection from
    debts but is taxed more like a sole proprietorship. Look Out! ...

  • Series 66 Study Guide - Analyzing Your Client's Financial Profile ...

    http://www.investopedia.com/exam-guide/series-66/analyzing-financial-profile/client-type.asp
    ... Limited Liability Corporation - This type of structure provides a company's owners
    with protection from debts, but is taxed as if it is a sole proprietorship. ...

  • Series 7 Study Guide - Equities - Direct Participation Programs ...

    http://www.investopedia.com/exam-guide/series-7/equities/direct-participation-program.asp
    ... Therefore, it is more accurate to refer to such an entity as a limited
    liability company (LLC). While the number of partners is ...

  • Benefits Abound For Active Traders Who Incorporate

    http://www.investopedia.com/articles/trading/09/incorporate-active-trading.asp
    ... By creating a limited liability company or a limited partnership, you can receive
    all the same tax treatment as a qualified trader without having to qualify. ...

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