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By Mark Oldberg: October 27, 2017: Video
This is another question that I get from a lot of prospective business owners. I have even had to argue with a few folks who insisted that they were right and I was not. I mean what do I know, I am just a small business attorney?
The simple fact is that the corporation and the LLC offer equal liability protections. Any properly organized, operated, and maintained limited liability business structure shields the business owner from the liabilities of the business. I would even argue that the corporation is more risky because it requires a lot more in terms corporate filings and formalities, and if you aren’t keeping up with those you can lose your liability protections.
So whether you are an LLC or a corporation you are equally protected, just make sure you are keeping up with your corporate formalities and keeping a formal separation between your business and personal affairs, particularly the finances.
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