Q: What is a series LLC and what filing is required?
A: This is a wonderful question! A series LLC is a new type of entity that allows for essentially an internal umbrella setup without the need to form multiple companies and still allows for limitation of liability and obligations on a sub-LLC level. In other words, you get your LLC cake and get to eat it too. The IRS and a few courts have caused problems for early adopters of the Series LLC structure and it will likely take years and years to work things out in a satisfactory manner. Some attorneys are recommending that their clients utilize them, I am not. There is potentially a lot of risk that would be difficult to convey to a client in any meaningful way so rather than get sued for malpractice, many attorneys are staying pretty far away from these. Most states that offer such a structure also have forms that can be obtained on their websites. Always consult with an attorney prior to moving ahead with any entity formation, especially if you plan on using a Series LLC. The foregoing answer is provided by Douglas J Shumway, Esq.: (801) 478-8080. The answer provided is not intended to form an attorney client relationship and should not be construed as legal advice. Mr. Shumway is licensed only in Utah. Mr. Shumway's law firm has offices in Salt Lake City, San Antonio and Las Vegas.
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