Formation and Management
A Domestic Series Limited Liability Company is formed by one or more individuals or entities through a special written agreement. The agreement details provisions for management, assignability of interests, and distribution of profits or losses.
Taxation and Legal Protection
This IRS guidance is not adopted yet, so there is confusion about how to treat Series LLC cells and whether they are entitled to choose their tax status individually. Meanwhile, each state might have its own local taxation regulations for Series LLCs. For instance, in California, you’ll be required to pay a franchise tax for each daughter cell.
Generally speaking, the most attractive aspect of a Series LLC is the liability protection it offers to each Series. Separate Series have their assets and liabilities shielded from other Series within the overall Series LLC. The business venture can minimize and spread potential liabilities and risks amongst various business ventures through the Series LLC.
Registration Process
Application information, including forms for a Utah Series Limited Liability Company (Series Domestic LLC) that registers with the Utah Division of Corporations and Commercial Code.
FAQ: Series LLC vs. Holding LLC
What is the difference between a Series LLC and a domestic LLC?
What is the difference between a holding LLC and a Series LLC?