Limited Liability Company is also popularly known as LLC. It is a type of business which amalgamates both the characteristics of a corporation and solitary proprietorship. An LLC is eligible to pass the taxation rules of partnership or sole-proprietorship. But note that in an LLC, the liability of the owners is limited.
Well, remember that the LLC is not considered a separate entity. Moreover, the company doesn’t have to pay taxes or bear losses emanating from tax filings. However, this is accomplished by owners to report the business profits and losses. Quite interestingly, just like the corporations, the members of an LLC are secured from various types of liabilities. This is also the reason that the LLC is named like that.